Credit crunch will make small business and freelancers work smarter in 2008, claims entrepreneur.
As lenders continue to put the squeeze on credit, small businesses are set to be cash-strapped during 2008 according to Xenios Thrasyvoulou, ceo of London-based Peopleperhour.com.
According to Mr Thrasyvoulou, this is likely to make them work smarter, making the most of online resources and outsourcing – in essence buying in ‘just in time’ expertise. He also suggests that they’re more likely to clamp down on late payers by charging interest on unpaid debt.
It’ll be interesting to see whether this proves to be the case. One fears many smaller businesses will be keen to hang on to clients, if the economy takes a turn for the worse. fearing the results of applying their own credit clampdown.
The peopleperhour.com boss also predicts that entrepreneurship will grow in 2008 as people recognise their corporate or public sector jobs are not as safe as they thought they were.
I could see large scale redundancy potentially having this result, but again suspect that many people currently in jobs are not going to pick 2008 as the year they take the risk of starting a business voluntarily.
We’ll see …