You would think that confidence in the economy, would be at an all-time low. There is more and more uncertainty with regards to Brexit, and the potential impact that this might have on our currency and the exchange rate, the ability to import and export goods, and our overall economic position. One wouldn’t be hard pressed to think that this might be putting small businesses off their expansion plans.
Let’s be honest, nobody in Westminster is able to tell you with any certainty whether we will have a “Hard Brexit”, with minimal to no trade with Europe, or be part of a customs union with a strong working relationship – and we are only 6 months away from the 29th of March deadline. If the politicians don’t know what is happening, it is hard enough for small business owners to predict what will happen.
However, according to Joshua Ejdelbaum, Marketing Director of ASC Finance for Business, it might surprise you, but there are signs that the small business market seems to be bucking this trend.
It may only be one measure of confidence, but enquiries for finance by small business owners have grown for the second month in a row, suggesting that despite the negative outlook in the headlines, small business owners are focussing on trying to grow and expand their businesses.
Over the month of July, 13% more businesses spoke to ASC Finance about obtaining finance to grow their business or for their next business venture. In August, a traditionally quieter month due to the height of the holiday season, there was a further increase in enquiries for finance by 4.8%.
Henry Ejdelbaum, Managing Director of ASC Finance said “Small business owners are less concerned than economists about GDP and inflation and other macroeconomic variables. To them, what is important is running and developing their businesses, regardless of what is going on in the outside world”
“If, for example, someone wants to buy their own business, and become their own boss, they are likely to want to make it happen come what may. Their motivations are more likely to be driven by the desire to escape their corporate jobs, or the possibility of working for themselves, rather than the high-level numbers which make the papers.”
Let’s face it, there is a reason this website calls them Small Business Heroes.
Small business owners generally have one sole focus – running their business. And they usually have the drive and determination to ensure that no matter what obstacles they may face, be it from competition, staffing issues, or even uncertainty caused by Brexit, they are determined to give it all they have to make their small business as successful as possible.
Of course, we can’t forget that this is just a single measure of small business performance, and the economy as a whole. There are other statistics out there which can just as easily paint the opposite picture, and it may be the case that the economic impact of Brexit will prove to hit small business owners hard. But it is reassuring to know that small business owners have the resilience to keep going and persevere, even when times might get tough.