A recently conducted a survey that revealed most small firms in the UK want to grow their businesses in EU countries.
Hitachi Capital recently conducted a survey that revealed most small firms in the UK want to grow their businesses in EU countries. The survey, consisting of 1500 directors of small businesses, reported that 43% of small companies seek to expand their operations globally to achieve growth and sustainability.
Travel green list expansion
This increasing interest in global business operation can be attested to the travel green list that includes 36 countries. With the government easing travel restrictions, small businesses have more confidence in investing and running operations globally without fear. Companies can now work on plans that had been pushed back and operations that were halted with ease.
By lifting travel restrictions, small businesses in the UK will be able to effectively and efficiently do their work internationally, and there’s a potential of 2.5 million UK businesses expanding overseas.
All in all, changes to UK’s traffic light system for travel is expected to have a significant impact on small companies in the UK. For example, it will allow small firms to plan beyond the pandemic to five or ten years.
Business opportunities overseas
According to Hitachi Capital’s survey, the percentage of companies looking to do business in the UK domestic market has fallen from 81 to 77. However, those looking for business growth opportunities overseas has grown from 41% to 43%. Although not a huge increase, many small businesses looking to operate internationally will benefit significantly and expand their networks.
Besides, in some markets and sectors, there has been a substantial increase in the percentage of small businesses looking to expand overseas. This includes:
- Distribution/transport going up from 48% to 58%
- The media sector increasing from 52% to 62%
The Hitachi Capital data also shows that non-growing companies are less likely to consider overseas opportunities than growing companies. Similarly, London-based small firms are more likely to expand internationally than companies in any other part of the UK.
Growing business in EU countries
Most entrepreneurs want to do business and grow in EU countries. Of the 43% looking to expand overseas, 54% want to invest in the EU, 46% in North America and 23% in Australia, thanks to the recent free-trade deal in the region.
Rebuilding small businesses
The recent pandemic wreaked havoc on many small businesses across the UK. Many were forced to shut down, with others filing for bankruptcy due to the adverse effects the pandemic had on the country’s economy. Although quarantine regulations were warranted to keep everyone safe, they vastly hindered the ability of small companies to secure growth, expand their networks, scout opportunities and make deals both locally and internationally.
Luckily, the government is taking steps to rebuild small businesses by lifting travel restrictions. Currently, any small firm that took a toll during the pandemic has the opportunity to expand overseas. Coupled with today’s state-of-the-art technology, small businesses can continue operating and expanding internationally.
The Seamless brand is happy to help your small business expand overseas by providing professional services such as creating local routes to market and managing your international business. Contact us today for more information about our services.