According to new research conducted by Close Brothers Asset Finance – around 1.35 million small and medium size businesses plan to expand over the coming months.
Even more encouragingly, over half (54 per cent) believe that the worst is behind them and think that we’re in a steady, recovering economy - with a fifth (20 per cent) believing that their business is prospering in the current economy.
To fund this expansion a large chunk of these businesses are supposedly looking to borrow, with nearly a third (29 per cent) seeking funding for their venture.
A similar number of these (30 per cent) will be hoping to borrow up to £100,000, with a further fifth (18 per cent) seeking funding of £100,000 or more.
Banks behaving badly (again)
However, despite their eagerness for expansion it looks like some small businesses are up against it. According to the study’s findings more than one in ten (13 per cent) small businesses have missed business opportunities, solely because of a lack of available finance.
Worryingly, just under half of these businesses (48 per cent) had missed multiple opportunities. A troubling stat given that business overdrafts are also disappearing at a rate of £5 million per day.
What do you make of these findings? Do you plan to expand your business in 2016? Let us know in the comments section below.