Survey Shows UK SMEs Reacting Bullishly to the Credit Crunch
Despite the pressures, small and medium sized businesses (SMEs) in the UK appear to be reacting bullishly to the credit crunch, according to a new study. When asked if they had to start their business again in today’s economic climate, 61% of SMEs said they would do immediately. The research, by The Credit Show, shows that SMEs plan to expand sales in the UK on average 56% in the coming year. The study is based on detailed online interviews with 117 small and medium sized businesses. The businesses were drawn from across the UK and from a mix of sectors. In general, the study paints a picture of an SME community in bullish mood. Just under half plan to expand into a new area in the next 12 months and a further 37% will recruit new staff. Over one in three plan to launch a new product or service and only 1% plan to scale back their operations. Indeed, when asked to state their future optimism, over three quarters (78%) of SMEs said they were confident about the future of their business. The report showed that 28% say that they are now finding it harder to borrow from the bank, whilst 38% of respondents from the same survey admitted to not noticing the credit crunch.