22/07/2011
470,000 jobs could be created by small businesses during next year alone, a report suggests.
The study, by an independent financial company, found that 38 per cent of the 1,000 business owners it surveyed plan to expand their business over the coming 12 months. This equates to nearly half a million new workers for small businesses in the UK.
Confidence in the future as a whole varied depending on the size of the business, though overall, 46 per cent claimed they were confident in what lay ahead, rising to a figure of 56 per cent for medium sized business.
The study did not venture into how businesses plan to pay for the growth but many may look to invoice finance as a way of boosting the company cash-flow to expand the business.
There is also a similar picture forming in Europe, with France seeing a projected rise of 630,686 jobs and Germany forecasting growth of 971,779.
Speaking to smallbusiness.co.uk of the report, financial expert John Jenkins explained: "Although the picture for UK job creation is positive, there are noticeable variations depending on the size of the businesses and the region and sector in which they operate, highlighting the kaleidoscopic of conditions experienced by the UK SMEs."
Adding, Jenkins told realbusiness.co.uk: "It's clear that the smallest businesses, which make up the backbone of the UK economy, may need further support to boost business confidence and realise their potential."
David Howells