Milsted Langdon says SMEs still optimistic about growth, but there are barriers to overcome
Award-winning accountants Milsted Langdon have said that recent research shows that small businesses remain confident about their growth, despite the challenges they face.
The firm, which works with businesses across the South West and beyond to enhance their growth prospects, has pointed to the latest report from Enterprise Nation, which indicates that 72 per cent of businesses are confident of growth in the coming year.
The Small Business Barometer, prepared with the help of Experian and the Institute of Chartered Accountants in England and Wales – of which Milsted Langdon is a member – also found that 65 per cent of SMEs said they were planning to boost profits by introducing new products or services to market soon.
The big topic in the news remains the ever-looming Brexit deadline, but the report shows that a third of businesses are still exporting to the EU, with 39 per cent expecting to export globally over the next six months.
When asked about the performance of their business, 48 per cent said that expectations for the year were being met, while 18 per cent said they had exceeded their expectations.
Of those that reported better than expected performance, around 75 per cent said that new clients or business was the main factor, while nearly a third said that new products had played a key role.
The value of UK SMEs to the UK economy must not be underestimated, according to Milsted Langdon, who pointed to a separate study which suggests that the UK’s army of small to medium-sized businesses are now worth £3 trillion – valuing the average SME at around £2.9 million.
Ian Lloyd, General Practice Partner at Milsted Langdon, said, “It’s very promising that SMEs are optimistic about growth. We’re seeing more entrepreneurs that want to scale-up quickly with the aim of selling much earlier than what historically tended to happen. Following the exit of a business, many owners go on to invest in other ventures. It’s crucial that SME owners work closely with their accountants and trusted advisers on both short- and long-term plans, as well as looking at important issues such as succession planning.
“The South West is a hotbed of high growth companies from a range of sectors, from manufacturing to creative, tech and media, and despite political uncertainly, our SMEs are showing resilience and we should take confidence that there is a keen enthusiasm to grow.”
Milsted Langdon has offices in Bath, Bristol, London, Taunton and Yeovil. To find out more visit: www.milsted-langdon.co.uk
Pictured above: Ian Lloyd, General Practice Partner at Milsted Langdon in Bath.
