Businesses not waiting for economic recovery
Rather than waiting for the economic recovery to begin, entrepreneurial businesses are taking positive action by themselves to develop and grow their businesses in the current climate.
Commenting at the start of Global Entrepreneurship Week, Ash Mehta, CEO of Orchard Growth Partners, which provides flexible part time and interim finance director services to growing business, said:
“We are seeing more and more signs that small and medium sized businesses, frustrated at having to put their businesses on hold during 2009, are now actively looking to grow in 2010 by introducing innovative products and services and tackling new markets, particularly overseas, which have become attractive due to the weakness of sterling.”
With overall business and consumer confidence still low, following the another decline in the economy in the third quarter of 2009 and a further increase in the level of unemployment, Mehta urges the Government, banks, and wider community to recognise the role that SMEs are going to play in regenerating the economy and improving the employment situation, and provide real support to entrepreneurs looking to take their businesses to the next level.
“It is clear that with larger businesses still downsizing, and the likely negative impact on employment as a result of the anticipated reduction in public expenditure, the only route to jobs growth is going to be through small and medium sized businesses.
However these businesses will also be seeking flexible solutions, so as not to burden themselves with high fixed costs and risk being a victim of recovery, having survived the recession intact. Banks will need to find ways of evaluating business risk to ensure business with potential get the right funding, while Government will need to play its part in encouraging flexibility by reviewing the regulatory burdens that currently hold back such businesses.”
