SMEs could be key to economic recovery

Even though the outlook for the UK economy is not bright for next year, about half of the UK SMEs are said to be anticipating sales growth over the next year. In a survey that was conducted by the Co-Op Bank only about one in five SMEs is concerned that their sales and orders will start to fall in 2013.

Managing director of business and corporate banking for the Co-Op stated that entrepreneurs and SMEs are well known as being the key to the economic recovery in Britain so it is good news that most small businesses feel positive about the next year. He added that as the curtain draws on a tough year it appears that most SMEs are starting to look forward with a healthy degree of optimism.

Alderson also remarked that the bank sees the entrepreneurial spirit positively exhibited on a daily basis as they deal with their customers so it is not surprising that SMEs are exploring the new markets as they move forward and tackle new economic challenges.

In the poll conducted by the Co-Op, it as found that about 44% of the 500 businesses asked believes that their sales and orders will continue to increase over the course of 2013. As a result of this optimism, about one out of four businesses plan to hire more employees to meet the challenges of a growing business.

About three-fourths of the businesses included in the survey stated that the economic uncertainty is one of the largest challenges that they have to face on a regular basis. With the possible threat of a ‘triple dip’ recession there is good reason to be concerned about the economy, but it appears that most SMEs are keeping their concern at bay in favour of looking ahead.