Small firms in profit bounce back to pre-2008 levels

March 16, 2015   //   No Comments

A greater number of small businesses have increased their turnover, expanded workforces and reported profits over the last 12 months, according to new research published on 3rd March.

The Small Business Survey 2014 from the Department for Business, Innovation and Skills (BIS) is the nation’s most reliable source of evidence on enterprise.

The research of 4,355 small and medium-sized firms that employ at least one person, found that:

  • 78% reported they have made a profit or surplus in the last 12 months, back to 2007 and 2008 levels and up 6% on 2012
  • 40% reported their turnover is greater now than 12 months ago, compared with 29% in 2012. Only 18% report declining turnover, down from 31% in 2012
  • over half (51%) expect to grow their turnover over the next year, up from 37% in 2012
  • employers are recruiting more staff, with 22% of the firms taking on more staff over the last 12 months, compared with 19% in 2012
  • one third of employers expect to increase their staff over the next 12 months (was only one fifth in 2012) and only 4% (1 in 25) expect to reduce staff (was one fifth in 2012)