Following our recent deep-dive into the challenges of starting a business in Europe, we now turn our focus to the realities of running one. We’ve analysed how European entrepreneurs manage operations and the relationships they have with their accountants. To better understand their needs, we partnered with Kantar to survey 2,000 small business owners across 12 European markets where Visma operates, covering the Mediterranean (46% of the respondent sample), Central Europe (24%), Benelux (16%), and Nordic regions (12%).

→ Learn more about the survey here.

40% of time lost to administrative burdens

Although European entrepreneurs identified marketing and sales as their biggest challenges, the survey respondents admit that a lot of time actually goes to administrative tasks. In fact, over half of them estimated they spend more than 40% of their time on these – time that could’ve been spent on business growth, which is crucial to focus on when running new ventures.

I’ve seen firsthand how essential it is for businesses to identify and prioritise their core areas of focus to avoid spreading resources too thin. To truly focus, businesses need to start by understanding what drives their value. This involves identifying the key areas that directly impact customer satisfaction and revenue.
– Hege Oustad, Managing Director of Tripletex (Norway)

There are, however, some regional differences in time dedicated to administrative tasks across Europe. Nordic entrepreneurs spend the least time on these tasks, while 15% of Central European respondents claim to spend over 80% of their time on administration – well above the overall average of 11%.

When asked about their main accounting tools, 54% of respondents revealed they don’t use, or aren’t aware of using, any professional accounting software. This includes both on-prem software and cloud-based solutions, also known as software as a service (SaaS). It’s worth noting that the question didn’t address tools used by accountants, but the results still highlight a gap in the adoption rate of professional software among European entrepreneurs.

Traditional accounting practices remain relatively common across European small businesses, with 19% using spreadsheets and 14% relying on pen and paper. These figures are notable, especially when compared to the adoption rate of modern cloud-based software, which is growing but currently at 16%.

In the context of running a business, while the adoption of cloud accounting software shows growth and potential for further expansion, traditional installed software leads the way. Sources like Eurostat and Statista report that SaaS usage is on the rise but our survey found that it still lags significantly behind installed software. On a positive note, the majority of respondents (54%) shared that using professional software – whether installed or cloud-based – has cut down their time spent on accounting tasks.

Modern accounting and project management systems provide real-time insights into a company’s financial health and operations. These tools enable informed decision-making, ensuring that businesses can concentrate on tasks that deliver the most value.
– Hege Oustad, Managing Director of Tripletex (Norway)

Regional differences in the adoption of cloud software

These are the current software adoption trends across Europe that our survey unveiled:

• Accounting software: Traditional software remains the primary tool in Europe, but cloud solutions are gaining traction in the Nordics (17%) and Benelux (18%). Central Europe and the Mediterranean lag behind, mainly relying on traditional software and a significant use of spreadsheets.
• Invoicing software: More than half of all respondents use professional invoicing tools, with installed software leading at 37% and SaaS at 22%. The Nordics show the highest cloud adoption rate for invoicing (29%), while traditional tools dominate in the Mediterranean (39%).
• Payroll software: Only 37% report using professional payroll software, with 23% preferring on-premise and 14% preferring cloud solutions. The Nordics and Benelux show higher cloud adoption rates, while many in Central Europe and the Mediterranean still opt for installed software or outsourcing this task.
• Expense management software: Half of all respondents use professional software for expense management, with the Benelux and Nordic regions leading the way in adopting cloud solutions. Spreadsheets (25%) and pen and paper (20%) remain relatively common.

→ Download a copy of the full study here.

With the right information, entrepreneurs can focus on what’s important – and technology is what makes that possible.
– Javier Fondevilla, CEO of Holded (Spain)

How European entrepreneurs perceive the value of accountancy services

Accountants play an important role in specific business operations. But the big questions are: How satisfied are European entrepreneurs with these services? And are they worth the cost?

Our findings show that accountants, while trusted partners, are currently at a crossroads. They’re experiencing increasing pressure because of the ongoing digital transformation, pushing them to reassess their role within the value chain. Although European entrepreneurs seem largely satisfied with accounting services, they are concerned about the pricing. This signals a pivotal moment in time for accountants, who need to evaluate whether to commoditise their services – competing on price and volume – or evolve into business advisors who compete based on the value they provide. It’s interesting to note that, currently, survey respondents mostly rely on accountants for tasks like accounting and payroll management, while their influence on invoicing and expense management appears to be less significant.

One of the key goals of the study was to gauge how satisfied European entrepreneurs and business owners are with their accountants. The results revealed a generally positive view: 74% of respondents rated their experiences highly, giving scores between 7–10, while only 7% expressed dissatisfaction with ratings between 0–4. If we were to calculate a Net Promoter Score (NPS) from this data on a scale of 0–10, we’d land at a +5. While European entrepreneurs generally seem satisfied with accountancy services, the NPS score points to the accounting industry being challenged.

Understanding price perception

When asked about the cost of accountancy services, 45.5% of respondents considered them expensive, and 14.3% even found them way too expensive for the value received. 31.2% found the cost a bit high but manageable, while only 9% considered accountancy services to be cheap, though 41.7% deemed it fair and reasonable.

Overall, the findings suggest that European entrepreneurs are concerned about the cost of accounting services relative to the value they provide. While automation and digital transformation are streamlining processes, the outcomes of accountancy services remain largely the same. As a result, accountants need a strong grasp of both accounting and technology. This raises an important question: should the increased efficiency lead accountants to reconsider their current offerings?

When looking at the survey data by region, we got an overview of European entrepreneurs’ perceptions of accountants and how they differ:

• Central Europe: Entrepreneurs in Central Europe report the highest level of satisfaction with accountants, with an estimated NPS of +16 which is well above the average of +5. However, over 47% of respondents perceive accountancy services as expensive, suggesting a need for further investigation into this relationship.
• The Nordics: In the Nordics, a larger percentage of respondents view accountancy services as affordable. However, satisfaction levels are the lowest in this region, with an estimated NPS of -8. This suggests that although the services are considered affordable, they may not fully meet clients’ expectations for quality or relevance.
• Benelux: In the Benelux region, satisfaction levels are similar to those in Central Europe with an estimated NPS of +10. This suggests that entrepreneurs are generally pleased with their accountants, and there is a good balance between cost and satisfaction with the services received.
• The Mediterranean: Satisfaction levels in the Mediterranean region are more modest, with an NPS of +1. This is mainly because of cost perceptions, as 46.1% of respondents view accountant services as expensive.

While European entrepreneurs largely recognise that accountants play an important role in managing certain business functions, there is evidently a growing sentiment about the cost of accountancy services. They’re increasingly questioning whether the value accountants deliver justifies the cost, especially because automation and digitalisation are shaking up the accounting industry.

As business owners in Europe are navigating their challenges, they’re looking for more than just traditional compliance services – they want strategic partners who can offer valuable advice and help drive business growth. This creates an opportunity for accountants to rethink their roles and offerings to better meet the evolving needs of entrepreneurs running a business.