While business owners and leaders alike plan for the year ahead, 2025 looks set to bring its fair share of challenges for SMEs. Rising costs, fierce competition for tech talent, and the ever-present risk of cyber threats are forcing businesses to adapt and evolve. But staying on top of these pressures while keeping things running smoothly isn’t easy.
Understanding and alleviating those pressures is where KubeNet excels.
We know what it takes to help businesses stay agile, secure, and future-proof. So, whether it’s the growing cost of staffing, upgrading your communications before the ISDN switch-off, or keeping your data safe from evolving cyber threats, we’re here to help you take on whatever comes next.
In this blog, we break down the top three business challenges for SMEs in 2025 and show you how working with the right technology partner can make all the difference.
What are the biggest business challenges for SMEs in 2025?
We've narrowed the obstacles that small businesses will face this year into 3 main headings:
Rising staff costs and talent shortages
The need for flexibility
The evolving cybersecurity landscape
Why?
With the UK government estimating that our existing digital skills gap cost the economy £63b each year, the return to work debate raging on, and increasingly sophisticated cyber attacks making headlines, the approach that SMEs take to each of these challenges will shape their business in 2025.
Rising Staff Costs and Talent Shortages
One of the biggest challenges facing SMEs in 2025 is the rising cost of staff. With National Insurance contributions increasing by 1.2%, businesses are feeling the squeeze. And that’s before you factor in the rising costs of recruitment and the struggle to find the right talent, especially in tech and IT roles.
The reality is that 80% of small businesses are already struggling to fill digital and technology roles, and it’s only getting tougher. Competing with big tech companies offering sky-high salaries and fancy perks makes it even harder.
Then there’s the time and expense of recruitment itself - whether you go it alone or bring in a recruitment partner.
The truth is that for many SMEs, it can be a struggle to even get started. Before you even consider what technology is required, finding the right people, and retaining that talent is one of the biggest challenges facing small businesses in 2025.
How an MSP like KubeNet can help reduce staff costs and fill the talent gap:
Here’s the good news: You don’t need to face these challenges alone.
Many businesses are turning to Managed Service Providers (MSPs) to plug their skills gaps. In turn they're also lowering staffing costs, gaining more expertise and eliminating the often painful recruitment process.
Fill the gaps without the overheads: By partnering with a Managed Service Provider, you gain access to a whole team of IT experts without the need to hire in-house. This typically means less cost-commit when compared to the cost of hiring a new member of staff. Crucially, it also means more knowledge! Working closely with some of the biggest companies across the globe, including Microsoft, Cisco, and Datto, our team are committed to staying in-the-know when it comes to the latest knowledge, trends, and tools - meaning that your business benefits from the continued development of our specialists.
Stay flexible and scalable: Whether you need day-to-day support or help with a one-off project, we scale our services to suit your business needs. From fully-managed IT, where we become an extension of your business, to co-managed support where we bolster your existing IT team, our Managed Services are based on our twenty years of experience in the industry and tailored to your business needs. We even offer professional services for those larger IT projects you may be putting off, like upgrading your telephony or moving your operations to the Cloud.
Save time and money: With a trusted technology partner by your side, you can rest assured that we take care of your critical IT infrastructure, freeing up your resources to focus on growing your business.
Working with a Managed Service Provider can make rising costs and talent shortages one less thing to worry about. Partnering with KubeNet means you get the right expertise when you need it - without breaking the bank - addressing one of the biggest business challenges SMEs will face in 2025.
The Need for Flexibility
The way we communicate has changed dramatically, and it’s not slowing down anytime soon. If your business still relies on traditional phone systems, there’s an important deadline on the horizon. The ISDN and PSTN switch-off has been pushed back to 2027, but don’t get too comfortable. Contracts are still ending in December 2025, meaning your services could be cut off well before the final switch-off date.
Waiting until the last minute? Bad idea.
When everyone rushes to switch, bottlenecks are inevitable, and that’s a risk no business can afford. Just imagine what would happen if your phones stop working for one day… that could be the reality if you’re not prepared, but for much longer.
It’s not just about replacing the outdated. AI is making waves in voice technology too, and many businesses already have AI tools built right into their voice systems, tools that can enhance customer experiences, streamline workflows, and provide valuable insights. Most importantly, these tools give your staff the tools they need to improve their systems.
And then there’s flexibility. Hybrid and remote working aren’t going anywhere, but how businesses approach them is changing.
Some companies are thriving with the benefits of remote and hybrid work, they can tap into a wider talent pool and reduce operational costs. Their teams are happier, more productive, and able to maintain a healthier work-life balance. These businesses have future-proofed their operations by adopting modern voice and communication solutions that allow seamless collaboration from anywhere.
On the other hand, some organisations are pushing for a full return to the office. While there may be value in face-to-face interactions, it’s not always possible. Unexpected events like heavy snow, storms, or transport strikes, are reminders of why flexibility matters. If your business grinds to a halt because people can’t physically make it to the office, it might be time to rethink your approach.
The WFH vs RTO debate rages on, and only you know works for your business, however, we know what voice solution works best for you. The right voice solution keeps your business resilient and adaptable, no matter where or how your people work.
When’s the last time you really reviewed your voice solution? Is it set for the future?
How KubeNet Can Help:
Future-proof your communications: Our VoIP and cloud-based voice solutions ensure you're prepared well before the ISDN switch-off.
AI potential: We’ll help you discover and utilise existing AI features to make smarter decisions and improve customer experience.
Stay connected from anywhere: Our solutions enable your team to work seamlessly, no matter where they are.
And with KubeNet by your side, you’ll be ready for whatever comes next.
Cybersecurity: The Never-Ending Battle
If there’s one thing that’s certain, it’s that cyber threats are becoming more relentless and sophisticated. In 2023 alone, data breaches jumped by 72%, and by 2025, experts predict that a staggering 87% of businesses will experience at least one security breach. For SMEs, it’s a risk that can impact your finances, reputation, and customer trust, which could be fatal.
The reality? A single breach can cost businesses over £1 million, with some never fully recovering. Yet, despite the risks, many SMEs are still underprepared, often thinking they’re too small to be a target, or that it's not worth the investment. Unfortunately, cybercriminals don’t see it that way.
But it’s not all doom and gloom, there’s plenty you can do to strengthen your cyber security and keep your business safe.
How KubeNet Can Help Alleviate these Business Challenges for SMEs in 2025:
Expert support at a fraction of the cost: Hiring an in-house cybersecurity team can be expensive. As your trusted partner, we provide 24/7 system monitoring, proactive threat detection, and tailored security solutions to keep your data safe.
Educating your team: Most cyber breaches happen because someone clicks the wrong link or uses a weak password. We offer practical training to make your employees your first line of defence.
Seamless system updates: Keeping your systems patched and up-to-date is one of the simplest ways to protect your business but it often falls down the list of priorities. We automate updates to keep your defences strong without the hassle.
Layered security solutions: From multi-factor authentication (MFA) and email defence to advanced threat detection tools, we help you stay one step ahead of cybercriminals.
Reliable data backup and recovery: If the worst does happen, we ensure you can bounce back quickly with secure data backups and a robust recovery plan.
Cybersecurity is an ongoing process, but with KubeNet on your side, you can focus on what matters most: growing your business, knowing your systems are protected by experts who’ve got your back.
2025 will undoubtedly bring its fair share of challenges for SMEs, from rising staff costs and shifting communications to the ever-present threat of cyberattacks. But with the right partner, these challenges can become opportunities for growth, innovation, and greater resilience.
At KubeNet, we’re we’re Your Trusted Technology Partner. We help you fill critical talent gaps, future-proof your communications, and defend your business against evolving cyber threats, all while keeping your business agile and competitive.
The future might be uncertain, but one thing is clear: having the right technology partner can make all the difference.
Ready to face 2025 head-on? Let’s make it your best year yet.
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