Will the New National Insurance Contribution Changes, Impact Business Growth?

The Challenge of Hiring in 2025

Hiring is one of the biggest decisions a business owner can make. Bringing in new talent is essential for growth, yet in 2025, many businesses are facing a difficult question: Can we afford to expand our team given the latest income tax and National Insurance changes? With changes to National Insurance Contributions about to come into effect rising employer costs, many businesses are putting recruitment on hold, but delaying growth comes with its own risks.

For businesses that rely on sales and lead generation, hiring a full-time Business Development Manager (BDM) can feel like an impossible commitment. However, there’s a flexible solution that enables growth without the weight of full-time salaries.

Understanding the 2025 National Insurance Changes

The UK government’s latest tax adjustments mean that business owners will be facing higher employment costs. From April 2025, the employers' National Insurance rate is increasing from 13.8% to 15%, making it more expensive than ever to take on full-time staff. Additionally, the threshold at which employers start paying National Insurance will drop from £9,100 to £5,000, meaning more of an employee's salary is subject to NIC contributions.

Traditionally, business development teams drive revenue by identifying new opportunities, nurturing leads, and closing deals. But with these rising employment costs, hiring a dedicated team member could add thousands to annual overheads. This is leaving many business owners wondering: Do we hire now and absorb the cost, or do we wait and risk stagnating growth?

The True Cost of Hiring a Full-Time Business Development Manager

For example, hiring a Business Development Manager with a £45,000 salary and a £5,000 car allowance comes with additional employer costs:

• National Insurance Contributions (15% on earnings above £5,000): £6,750 per year

• Employer Pension Contributions (3%): £1,500 per year

• Total Cost to Employer: £58,250 per year

For many businesses, this is a significant financial burden, especially when weighed against the uncertainty of whether a full-time hire will deliver immediate ROI.

The Business Growth Dilemma: Hire Now or Hold Back?

There’s no doubt that a strong sales and business development function is crucial to long-term success. Without it, lead generation slows, sales opportunities decrease, and revenue becomes unpredictable. Yet, the financial burden of hiring full-time staff under current economic conditions has left many businesses hesitant.

Holding off on recruitment may seem like a smart short-term decision, but the long-term impact can be costly. Lost sales opportunities, a lack of pipeline momentum, and struggling to compete with more proactive businesses are real risks. The flip side is equally challenging—hiring a full-time employee means significant costs, onboarding time, and the uncertainty of whether they will deliver the expected results. It’s a difficult balance.

For businesses at this crossroads, an alternative approach is needed—one that delivers the benefits of business development without the financial strain of hiring full-time.

The Fractional Solution: What is a Fractional Business Development Manager?

A Fractional Business Development Manager provides companies with the sales expertise they need, but on a flexible, outsourced basis. Rather than taking on the full financial commitment of a full-time hire, businesses can access on-demand business development support—only paying for what they need.

This model is already widely used in areas such as finance and marketing, where businesses bring in fractional CFOs and outsourced marketing teams to avoid unnecessary overheads. Business Development is no different. By leveraging an external expert, businesses can generate leads, build relationships, and secure new deals—without the risks associated with permanent hiring.

The Benefits of BDMaaS (Business Development Manager as a Service)

The BDMaaS model offers the best of both worlds: the expertise and consistency of a dedicated Business Development Manager, but with the flexibility and affordability of an outsourced service.

Unlike traditional hiring, BDMaaS allows businesses to scale their sales function as needed. Instead of committing to a fixed salary and long-term employment contracts, companies can access experienced business development professionals who work as an extension of their team, driving sales growth on demand.

For many business owners, this can be a real problem solver. No recruitment costs. No long-term commitments. Just proven sales expertise, when and where it’s needed.

How Nexus 360’s BDMaaS Keeps Your Business Growing

At Nexus 360, we specialise in helping businesses nurture and convert leads into long-term customers. Our CRM and marketing automation platform enables businesses to capture leads, automate follow-ups, and track engagement ensuring that no potential client falls through the cracks.

The introduction of BDMaaS (Business Development Manager as a Service) is a natural evolution of our existing services. While our platform provides the technology to streamline lead management, BDMaaS gives businesses the human expertise needed to build relationships, close deals, and drive sustainable revenue growth.

With BDMaaS, businesses get strategic outreach, sales pipeline management, and key introductions, all backed by the power of our technology-driven approach to lead nurturing. Instead of relying on manual processes, our clients benefit from a structured, automated system that ensures every lead is followed up with precision and at the right time.

By integrating expert-led business development with automation, we give businesses a cost-effective, scalable way to maintain growth—without being burdened by hiring full-time staff. Whether it’s through personalised outreach, strategic networking, or leveraging CRM insights, BDMaaS ensures that businesses not only find leads but turn them into paying customers efficiently and effectively.

At Nexus 360, we understand that every business has different growth needs. That’s why our Business Development Manager as a Service offering is designed to be fully flexible. Whether you need lead generation, outreach campaigns, sales pipeline management, or strategic networking, we create a tailored plan that delivers results.

Instead of spending months recruiting, onboarding, and training a full-time BDM, we help businesses immediately drive new sales opportunities with structured business development strategies that focus on the right prospects at the right time. With our expertise, businesses can continue to grow—without being held back by government policy changes or increasing salary expectations.

Is BDMaaS Right for Your Business?

If your business is concerned about the cost of hiring a full-time sales team but doesn’t want to lose momentum, BDMaaS could be the perfect solution. By working with an on-demand business development expert, you can maintain steady lead generation, nurture key partnerships, and secure new deals—without full-time financial risk.

For a limited time, we’re offering an exclusive early access opportunity for five businesses to experience BDMaaS at a 25% discount for the first three months.

To find out how this could work for your business, book a free consultation today. Let’s explore how you can maintain growth and avoid the risks of stalled recruitment.

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