Small and medium-sized businesses (SMEs) are sharply focused on protecting their operations as global tensions drive up fuel prices and threaten supply chains.
A recent pulse survey by MYOB of more than 230 SME decision-makers underscores the vigilance of business owners determined to shield their companies from the operational and financial impacts of fuel pricing and supply.
55% of SME owners and operators reported being very or extremely concerned about the Middle East conflict’s impact on fuel pricing and supply, while another 27% were moderately concerned and 16% slightly concerned. Only 3% said they weren’t concerned at all.
Fuel remains a critical component for business operations, with six in 10 (61%) of those surveyed saying it is very important to their ability to operate.
Higher fuel costs are hitting businesses primarily through supplier price increases (52%), followed by expenses for company fleets (47%), courier and freight costs (41%), and supply chain disruption (30%).
MYOB chief customer officer Dean Chadwick emphasised the role of local support, pointing out that strong community backing allows businesses to navigate these pressures.
“This is also a time where broader support can make a real difference. For the wider public who are also feeling the pinch, choosing to support local businesses where possible, paying promptly and recognising the pressures operators are under, can all help SMEs navigate what could be a very challenging period ahead.”
Faced with rising costs, more than a third of decision-makers surveyed are considering passing on price increases to customers (37%), while others plan to reduce spending elsewhere (35%), encourage team members to work from home or reduce days on site (16%), or adjust transport and logistics arrangements (16%).
Some are also considering increasing stock levels or reducing operating hours to remain competitive.
Chadwick acknowledged that while business owners can’t control everything happening in the world, there are still practical steps they can take to protect their livelihoods. Keeping a close eye on costs and cashflow, talking openly with suppliers and partners about pricing, and planning ahead are all ways SMEs show resilience and take charge of their own progress.