Economic uncertainty still holding businesses back

 

Small business leaders are desperate for growth in 2013 after a number of lean years.

 

 

We’ve all poured over the sales stats and bottom line figures, conscious of the tight margins and difficult decisions that need making as a result.

 

And as the new year approaches, the business community as a whole is looking – and hoping – to catch something of a break.

 

A recent study conducted by the Co-Operative Bank revealed that economic uncertainty is the single biggest challenge being faced by businesses at present.

 

Company leaders want to hire, they want to invest in new equipment and infrastructure, but with the growth figures wobbling it is not always possible.

 

In 2012 we’ve had both a double-dip recession and an Olympics-inspired economic surge, leaving some firms confused about the reality of the situation.

 

Is the economy now on the rise, or have we just seen a temporary spike in the growth figures before more doom and gloom in the new year?

 

For everyone concerned, let’s hope it’s the latter.

 

Many business leaders are putting their ‘optimistic hats’ on – with 44 per cent sure their companies will see growth this year.

 

But clearly nothing can be taken for granted based on the events of the past few years, so few are rushing in headlong with a spend, spend, spend attitude.

 

Positivity across the board is undoubtedly what is needed – it will encourage the banks to lend, for businesses to invest and for consumers to hire.

 

But there has to be a basis for the optimism – and for a little while longer, some may be tempted to remain sat on the fence.

 

Posted by the Secret Businessman