SMEs continue to be confident about their future, research shows
Small and medium-sized enterprises in the UK and globally remain confident about the performance of their business in the future, according to the American Express Global SME Pulse.
The research surveyed SMEs across 15 countries. It found that 58 per cent of SMEs globally are expecting revenues to grow significantly over the next year.
SMEs are also feeling optimistic about the economy, with business leaders from the UK being found to be nearly twice as likely to be positive than negative about the health of the UK economy over the next 12 months.
Half of SMEs in the UK are predicting revenue growth of at least 4 per cent over the next 12 months, and over 15 per cent are expecting a larger revenue growth of at least 8 per cent over the next year.
Businesses are also feeling positive when it comes to profitability, with over 55 per cent predicting an annual net profit of 4 per cent and 22 per cent expecting a net profit of 8 per cent over the next three years.
The research also showed that SMEs globally and in the UK are placing more focus on growth and expansion strategies to help boost financial performance.
Commenting on the research, American Express Global Commercial Payments Senior Vice President, Jose Carvalho, said: “It’s very encouraging to see this evidence of optimism and self-confidence among UK small and medium-sized enterprises.”
He added: “Businesses are deftly navigating through challenges and this resilience is helping them to thrive.”