SMEs confident of growth

Written on the 14 July 2009

A RECENT St George survey has revealed small to medium enterprises (SMEs) are expecting 6.8 per cent growth this financial year, but with realistic expectations the recovery will be slow.

St George corporate and business bank general manager Greg Kenny, says the survey shows resilience and determination by SMEs to remain competitive for when the eventual upturn comes.

“The top strategies being adopted by SMEs include focusing on core customers, focusing on the fundamentals of their business, cost cutting, business development and increasing their product or service offering,” says Kenny.

Out of 1000 owners and managers surveyed across Australia, 44 per cent plan to increase their market share and 25 per cent plan to hire more staff, but only 7 per cent already have.

But two in three believe 09/10 will be worse than 08/09 and just 16 per cent expect profit to rebound at the end of 2009, but there is a degree of optimism.

“On average, SMEs are targeting growth of 6.8 per cent for the financial year ahead. Given historical average growth for SMEs is around 10 per cent, this provides a good indication they are still determined to achieve growth despite the economic downturn,” says Kenny.

“Another finding of this research is that whilst most SMEs are taking a very candid assessment of the future risks and challenges facing their businesses, only 1 per cent believe there is a high chance their business could fail.”


Latest News

KOPLOVITZ GIVES SPRINGBOARD TO AGILE ENTREPRENEURS

FOR Kay Koplovitz, the key to being a successful entrepreneur is an agile mind - one that is always learning and q...

VITA GROUP SHARES SURGE UPON RESULTS

VITA Group (ASX: VTG), the Brisbane telco retailer tied up with Telstra (ASX: TLS), saw its share price surge 12 p...

SONAND TURNS THE TIDE AT SURFSTITCH

SURFSTITCH (ASX:SRF) has reduced its losses in the first half of FY17 as new CEO Mike Sonand executed his turnaround ...

EUREKA IMPROVES WHILE MANAGEMENT REMAINS UNIMPRESSED

EUREKA Group has collected the gains on its 'buy and build' strategy to achieve a net profit of $6.29 mill...

Related News

KOPLOVITZ GIVES SPRINGBOARD TO AGILE ENTREPRENEURS

FOR Kay Koplovitz, the key to being a successful entrepreneur is an agile mind - one that is always learning and q...

FASHION RETAILER'S TAKEOVER IN DOUBT AS PROFIT CLIMBS

IN the thick of takeover talks, Specialty Fashion Group (ASX: SFH) worked hard to cut costs and see its bottom lin...

HOW TO TAKE CONTROL OF YOUR CAREER THROUGH TRAINING

GIG economy, remote working, and freelance Friday are more than just buzz terms; our workforce is changing, and so...

EVERYTHING YOU NEED TO KNOW ABOUT THE NATIONAL BROADBAND NETWORK

THE National Broadband Network (NBN) is more than an internet connection, it is an opportunity to transform your b...

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter