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More SMEs are being run from home

An independent advisory body for SME's has said that running a business from home can provide significant cost savings.

The National Federation of Enterprise Agencies (NFEA) has said that developments in the internet have released some of the financial strain business owners face in getting their companies off the ground.

Statistics by Flexibility found that the number of employees working from home had risen by 11 per cent in 2005.

NFEA chief executive George Derbyshire said: 'The NFEA network of enterprise agencies is now seeing a larger number of new business start-ups operating their businesses without the use of a traditional office.'

He added: 'Of course, many of today's business operations can be run with a mobile or by email.' Mr Derbyshire said that as the businesses grow they may have to move to larger premises but that for the early stages it was an economically sensible decision for SME's to make. However, he added that it was still important to run a professional operation.

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