But entrepreneurs see opportunities in downturn
Recessionary fears, falling house prices and soaring interest rates have given UK entrepreneurs’ confidence a beating in 2008. But despite this 47 per cent remain upbeat and believe the looming recession will present opportunities for their company, the latest research from the Tenon Forum, a leading provider of accounting and business advice to entrepreneurs, reveals.
According to the study, opportunities range from the possibility of winning clients from competitors (51 per cent) to the chance to grow their business organically (36 per cent). A quarter see an opportunity to acquire struggling rival businesses as the credit squeeze tightens its grip.
Says Carl Jackson, head of Tenon Recovery: “With so much talk of recession in the media, it’s not surprising that entrepreneurs are feeling relatively downbeat, compared to the last two years. It is, however, very encouraging to see that entrepreneurs are aware of the opportunities for their businesses and a significant proportion are actively seeking opportunities during the downturn.
“However, entrepreneurs do need to be vigilant when it comes to taking risks in the face of a potential recession. By ensuring they have robust business plans in place, SME owners should be able to see their business survive and thrive through the tough times that may be ahead.”
Entrepreneurs in London see the most potential opportunities from the downturn (53 per cent), closely followed by those in the East of England (47 per cent), the East Midlands (46 per cent) and the South West (46 per cent).