Is it time for SMEs and family businesses to be optimistic once again?

There’s a new feeling in the air in certain quarters – one of optimism – and I’m sure I’m not the only one who’s feeling it.

For those of us who follow all the research statistics about SMEs and the recession, this summer has been full of conflicting news. There have been many days where the good news statistics were evenly balanced by the bad news statistics. It looked like green shoots had germinated but would they grow or can we expect them to whither in the chill autumn winds?

However, there have been real signs of increasing economic activity recently. Over the past month, I’ve noticed many empty sites being prepared for development. Construction activity appears to have started again. The property development sector was the first to suffer in this recession and it might well be one of the first to recover.

But what is really needed is a good dose of optimism amongst SME owners and, if statistics published by Barclays Commercial Bank are anything to go by, there are more firms taking this sweet medicine. Their research reveals that 57% of businesses are ‘hopeful’ as far as economic prospects are concerned and 17% are ‘excited’. 15% of respondents thought their business would be back into a state of sustained growth within 6 months with 28% believing this will happen in the period between 6 and 12 months.

Of course, this means that 57% of businesses don’t expect a full recovery within the next 12 months. However, it does indicate that 2010 could well be a year where we can start to pick ourselves up again and once again start looking towards the future with optimism.

Gary Cousins
Business Lawyer and Optimist