Partner Article

UK firms have 'healthy growth expectations'

More than 80% of UK businesses have plans to grow over the next 12 months despite concerns of a worsening economic client, new research suggests.

However, nearly half of firms planning to grow believe they will need to look at overseas trade to allow for expansion. The findings come from a survey by HSBC Commercial Banking which interviewed companies ranging from the start-up to corporate stage.

Around half of those surveyed said they were already trading internationally, and 68% said they were actively seeking overseas business to grow their operation.

Steve Bottomley, head of commercial lending at HSBC, said: “It is very encouraging that despite the current negative sentiment around the current economy both in the UK and internationally, businesses still recognise that it is important to consider their growth potential.

“As markets in the UK become more challenging or the cost of supplies, services and skills become more expensive an increasing number of businesses will consider overseas operations in order to run their own business in the most cost effective and successful way possible.”

However, despite the healthy appetite for overseas trade, 46% of firms view dealing with international clients as ‘more threatening’ than trading solely in the UK. Nearly 75% of businesses considering overseas trading said they felt ill equipped to take full advantage of the opportunity.

This was posted in Bdaily's Members' News section by Ruth Mitchell .