More than two thirds (68 per cent) of leaders of small and medium-sized businesses believe that their company is resilient after weathering the recent storms brought on by external events.
The annual American Express Business Barometer found that this sense of resilience was matched by growing optimism. Almost three quarters (73 per cent) of SME bosses were confident about the future of their company, an increase of four percentage points compared with a year ago. This upbeat outlook is borne out by revenue forecasts: 71 per cent expect their business to grow over the next 12 months.
The survey also found that 71 per cent of respondents believed that they were resilient as a leader, meaning that they were well equipped to deal with the range of challenges that running a business may throw their way. Three quarters (74 per cent) said that seeking feedback and learning from how they dealt with previous issues had been the key to building this up.
Ruchi Sharma, vice-president, UK commercial at American Express, said: “Business owners and leaders have needed to be more agile and determined than ever and it’s encouraging to see in our latest Business Barometer how the SME community believe this is translating into more resilient businesses and stronger leaders.”
The research, conducted in partnership with Small Business Saturday UK, polled 1,000 senior decision-makers at micro, small and medium-sized businesses.
It also found an increasing appetite to invest in technology to “future-proof” operations. Nearly a quarter (23 per cent) of SMEs are planning to invest in tech that helps to drive process efficiency and automation. The same percentage are planning to introduce new payments channels, such as mobile or QR payments, as a way of better serving their customers.
Artificial Intelligence is becoming a key strategic focus for smaller firms. Half (49 per cent) said that they had already integrated or were planning to expand their use of either generative AI — generating new and innovative content — or machine learning, which analyses data and makes predictions. The top uses for such technology are enhancing customer service and supporting marketing activity.
Michelle Ovens, director of small business Saturday UK, said: “Developing resilience, and looking particularly at how new technology can help drive this, is one of the best things that small businesses can do to secure their long-term success. We need to rally around the UK’s 5.45 million small businesses to make sure they have as much support as possible.”
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Small business bosses say they are resilient and optimistic