The self-employed look suspiciously at 2023 in which forecasts point to a stagnation of the economy -at least in the first part of the year- due to the enormous uncertainty surrounding the economic outlook and amid rising financing costs (due to the rise in rates) and with an increase that will continue to be still high. 66.6% of the self-employed believe the evolution of their business will not be better next year, while only 3.5% plan to hire more employees and close to 13% warn that they will be forced to lower their template in case the situation remains as it has been up to now.
These are some of the main conclusions of the XVI Barometer published by the National Federation of Self-Employed Workers Associations (ATA), which also points out that only 25.8% consider that their business has grown throughout 2022. In fact, the 37.8% have registered a decrease in their activity this year and a similar percentage (36.4%) assure that their activity has remained the same as it was last year.
Uncertainty extends to the prospects for the coming months. Only one in five surveyed self-employed believes that their business will grow, compared to 66.6% who responded that their negotiation will not improve, either because they believe that their activity will be the same as in 2022 (31.4%), or because their Current prospects are for a drop in activity (35.2%).
Most of the self-employed have maintained a workforce in 2022
This degree of distrust extends to their vision of the economy in general, seven out of ten self-employed workers highlight the negative economic trend. Thus, 46.5% see a negative trend and 25.3% a very negative trend. Only 10.8% are confident that 2023 will be a great year in economic terms and perceive the economy very positively. 17.7% are optimistic and view the current economic situation positively.
In this edition of the barometer, it is verified how 8.7% of the self-employed state that they have affected their workforce throughout 2022 and 38.9% affirm that, despite how difficult the year has been, they have been able to maintain Template. Finally, practically 10% (9.2%) of the self-employed who have answered the ATA Barometer affirm that they have had to reduce the workforce in the year that we are about to end.
As a forecast of the employment of their business for 2023, one in three self-employed believes that they will maintain their workforce, specifically 34.9%; 3.5% who will hire new workers and 12.9% who will have to reduce their workforce if things continue as they have been up to now. It stands out that 8.5% of the self-employed do not know how their business and the employment they create in it will evolve.
On their side, 23.4% of the self-employed have seen their turnover increase by up to 10% throughout the year and only 6.3% affirm that the growth of their business has exceeded 20%. On the contrary, one in four self-employed workers, 26%, believe that their turnover in 2022 and in relation to 2021 has decreased by at least 20%. However, in the chapter on expenses that arise from the activities of the self-employed, practically all of the self-employed, 95.2%, affirm that the expenses have pressured in the current year. 48.4% affirm that their expenses increase between 10 and 20%.
Concern about delinquency
Late payment, both public and private, has been and is one of the main problems for the group. So far this year, 39.7% of the self-employed have suffered delinquency. 7.4% of them by public entities only, 9.8% both public and private and 22.5% by other private companies.
According to the report, eight out of ten self-employed workers, 79.5%, state that they have not received any type of aid from public administrations. Of the self-employed who do respond to having received some type of help, the majority affirm that they have received it from the autonomous community, specifically 8.2%. 4.9% claim to have agreed to the cessation of activity, 3.1% have agreed to the ERTE, 5.6% say they have received other state aid and 3.1% from other administrations.
Loans are a common form of financing in the self-employed. In 2022, however, six out of ten self-employed workers, 58.4%, have not gone to a bank to request financing compared to one in three, 36.6%, who have requested it. Of that 36.6% of the self-employed who have requested financing throughout 2022, this has been granted to 29.6% and denied to 7% of those who requested it.
Strong rise in costs due to inflation
The rise in fuel prices, taxes and the cost of raw materials have been the main slabs that have seriously put the continuity of many businesses at risk. Thus, three out of four self-employed, 75.5%, affirm that the increase in the price of fuel has affected them quite or a lot, 73% have had a hard time paying taxes this 2022 and 71.2% also mark as one One of the main problems this year is the rise in prices of raw materials.
At the other extreme, the cost of rent is what the self-employed complain the least about, since only 29.7% of the self-employed surveyed for the ATA Barometer say they are quite or very affected for this reason. In addition, the escalation of inflation is a serious problem for most of the self-employed. In fact, six out of ten self-employed workers, 59.8%, affirm that they have been forced to raise prices. If this situation continues, practically two out of three self-employed workers, 64.9%, sign that they will have to raise prices throughout 2023.
