Capital on Tap says confusing business language is still costing UK business owners opportunities, money, and momentum. In a survey of 250 owners across a range of industries, 52% said misunderstanding corporate terminology had led them to miss a business opportunity, while 42% said it had contributed to financial loss or incorrect budgeting.
The research suggests the problem extends well beyond unfamiliar acronyms on a spreadsheet. Poor communication with suppliers was cited by 48% of respondents, 47% said unclear language had delayed important decisions, and 43% reported becoming more reliant on external advisers. Errors in legal or contractual agreements, and onboarding delays with tools or services, were each named by 40%, while 39% said jargon had made it harder to secure funding or investment.
Among the terms causing the most confusion, EBITDA ranked first, with 41% saying they were not confident in its meaning. OPEX followed at 39%, then CAPEX at 37%, and amortisation at 36%. Even among owners with more than 10 years of experience, 44% said they struggled to identify EBITDA correctly. By contrast, dividends caused the least confusion, though 11% still said they misunderstood the term.
What emerges from the survey is less a question of technical literacy in isolation than one of day-to-day business clarity. When key terms are poorly understood, the effects can show up in supplier relationships, investment conversations, budgeting, and operational speed. For smaller businesses without specialist in-house support, that gap can widen quickly.
Alex Miles, Chief Operating Officer at Capital on Tap, said: “When faced with confusing terms, ask, ‘Can you explain that in simpler terms?’ or ‘What does that mean in practice?’”
He added: “Avoid those who use jargon to sound impressive. Clear communication is far more valuable than complex language.”
The full research can be read here, while Capital on Tap’s guide to the most confusing business terms is available here.
