Half of sole traders confident of growth

More than half of sole traders are planning to grow their businesses over the coming months, new research reveals.

Although firms with more than 100 staff members are most confident of growth (77%), over 50% of those with less than 10 employees still expect to get bigger, according to research by Business Link.

The research also suggested that contrary to speculation that a lack of funding is the biggest worry facing small businesses, it is in fact a lack of demand from customers.

A fifth of businesses polled said customers spending less was their biggest obstacle, followed by winning new business.

Patrick Elliott, chief executive of Business Link in London, said: “It goes without saying that different businesses, whether we analyse them by industry, ownership or business type, are all coping and reacting with the recession in different ways.

“No one business is the same and each requires individual support to maximise success in 2010. SMEs need to review their businesses now more than ever.”

The survey also revealed that 59% of entrepreneurs are focusing on core products and services above all else, while 50% are cutting costs to survive tough trading conditions.

© Crimson Business Ltd. 2010