In any workplace there are challenges which you will face. For those employed by an SME, though, these can take different forms to the usual.
When working for an SME, growth and progression can be fast-coming and that breeds a quick-paced work environment where challenges are embraced and ambitious individuals thrive. There are plenty of perks and benefits but without the big budgets of larger corporations, there are some compromises and challenges too.
Lack of immediate progression or promotion
If you’re a young individual working for an SME then you may find that you initially progress well in the firm, helping to build it from the ground up. This can see your position change and evolve over time which may or may not lead to a new job title.
Sometimes you’ll naturally absorb extra tasks into your role for no extra recognition whereas other times a more structural promotion will be put in place. Initially, you may experience a lot of changes but stagnation can occur as you rise to the top.
Remember that an SME has fewer employees and this means there are less rungs of the career ladder for you to climb. While you may ascend quickly within your first couple of years you could find that this is as far as you can go for the foreseeable future and it’s up to you to decide whether that’s enough to keep you satisfied long-term.
Fewer financial incentives
SMEs are trying to build themselves up and while they’re unlikely to scrimp on things like wages, they’re also unlikely to be able to match the figures offered by larger firms.
Aside from a potential lower salary, you may also find financial incentives are less readily offered in an SME where every penny must be stringently monitored – especially in the current economic climate. This may not seem like a huge deal at first, but it can make a profound difference if you have an unexpected cost to deal with.
As a young person, it can be difficult to get to grips with budgeting and any unexpected costs can really throw a spanner in the works. You can get unsecured personal loans to help with these emergencies and Everyday Loans offers a range of unsecured personal loans that are suitable for young people. This could help you get out of a bind while you adjust to the financial constraints of being an adult.
Smaller pension pots
Other personal financial matters which may affect by working for an SME include lower pension amounts.
A report on Financial Times Advisor looks at this in more detail, commenting on how regulations surrounding automatic enrolment and an increase in admin costs could make it difficult for smaller companies to sort out pension pots and you may want to consider your options for private pensions if you feel your current firm doesn’t offer enough in way of payments.