Sage report finds 75% of SMEs are not exporting
To celebrate Export Week and the launch of a new Government exporting push, Sage has published survey data claiming that 75% of SMEs are currently not selling overseas, nor have plans to. The survey of Sage’s customer data reveals that 7% export with the EU, 16% export globally, but the rest do not export at all, or have plans to.
Coming as the Government launches a drive to promote exporting opportunities to UK businesses, the research also revealed the triggers that could prompt these companies to sell overseas. Companies surveyed said that government support, clearer information and EU advice on trading across borders would all make exporting more attractive.
Speaking at the launch of Exporting is GREAT, Sage CEO Stephen Kelly said: “We’re passionate about supporting businesses from start-up through every stage of their growth. Exporting is a significant step on the journey – one that many small and medium businesses don’t feel they have the support or knowledge to take. Our customers tell us that awareness of the opportunities and more government and industry support would help them make the move, so we are thrilled to be supporting Exporting is Great.”
Around 17% of UK SMEs plan to expand overseas by 2025
By 2025, 880,000 (17%) of British small businesses plan to expand overseas – an increase from the 10.8% of small businesses currently taking advantage of additional export revenues, according to research conducted by business e-lender Everline and the Centre for Economic and Business Research (Cebr) as part of its Small Business Tracker.
After growing their workforce (39%), exporting was the preferred way that small businesses saw their expansion plans going in the next 10 years. The stats varied according to regions, with almost twice as many London small businesses (30%) planning to export. Businesses in the North were least likely to take their business overseas (11%), followed by the South (excluding London) at 13% and the Midlands (17%).
COO of Everline Russell Gould said: "Although the number of small businesses planning on expansion overseas is hugely positive, more could be done to encourage small businesses in this area, particularly outside of London. The latest Annual Business Survey figures show that a third of medium-sized businesses and 41% of large businesses currently take advantage of export growth. Small businesses should work with industry bodies like the UKTI to see what opportunities exist and get advice on how to grow their business overseas."