The Cost of Traditional Finance Labour
For UK SMEs, the finance department is a necessary but costly burden. A junior finance hire costing £25,000 annually generally burdens your business with an all-in cost of around £40,000 when factoring National Insurance, pension, recruitment fees, and onboarding. Despite its high cost, this role often involves repetitive and time-consuming tasks that do not add meaningful value.
This inefficiency directly erodes your EBITDA – the key metric for operational profitability.
Why Finance Automation Elevates EBITDA
Finance automation, particularly through AI-driven agents like Arthur, tackles this problem with precision:
- Consistent 24/7 Operation: Unlike human staff constrained by hours and fatigue, Arthur works round-the-clock, accelerating invoice processing and cash flow management.
- Flat Monthly Fee: For just £1,000 per month, you eliminate the variability and unpredictability of employee costs.
- Data Sovereignty and Compliance: Hosted securely in London, Arthur ensures GDPR compliance and minimises regulatory risks associated with offshore outsourcing.
- Freeing Skilled Labour: Allow your skilled finance team to focus on strategic initiatives rather than drudgery.
All these factors converge into a direct boost to your EBITDA through cost avoidance and improved operational cash flow.
The Economic Argument Against Junior Hires
The myth that a junior finance hire is a cheap way to manage cost is exactly that: a myth.
- £25,000 salary → £40,000+ total cost
- Time lost to training and turnover is hard to quantify but significant.
- Risk of errors and compliance breaches from routine tasks.
In contrast, Arthur’s predictable, flat-rate cost delivers better efficiency metrics without hidden liabilities.
Next Step: Measure Your EBITDA Impact
Consider this:
- Calculate your current monthly finance labour cost including all on-costs.
- Identify the proportion spent on routine data tasks.
- Substitute that cost with Arthur’s £1,000/month fee.
The resultant savings directly improve your EBITDA margin.
To discuss how Arthur can integrate into your financial operations and improve your EBITDA, contact The Agent Bureau today.
Unlock financial efficiency, reduce labour liabilities, and safeguard your business’s economic future.
