The State of Small Business in Barbados

National Survey of the Small Business Sector (Barbados)

These aforementioned challenges identified during the Focus group discussion are not isolated but reflect deeper structural constraints. Labour shortages stem from skills mismatches, migration, and wage competition; working capital constraints arise from limited collateral, weak financial records, and misaligned financing systems; bureaucratic inefficiencies increase compliance burdens; and delayed payments, particularly on contracts, create persistent cash-flow pressures. Together, these factors reinforce a cycle of constrained growth and limited scalability among MSMEs. Section 5: Qualitative Insights from MSME Owners’ Focus Group Key Themes Persistent challenges were noted including labour shortages, working capital constraints, bureaucracy, and delayed payments. Sources of resilience identified included customer loyalty, adaptability, owner commitment, and selective technology use. Climate and digital risks were acknowledged but often deprioritised due to immediate survival pressures.

Policy Signals

MSMEs consistently call for:

Faster and more transparent financing mechanisms Reduced administrative burdens Sector-specific infrastructure and shared facilities Targeted support for climate and digital resilience

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Small Business Association of Barbados