A recent study, conducted by the London School of Economics, has revealed that almost 50% of all small to medium enterprise have conserved their profitability, during the economic downturn.
This news will be welcomed by the SME sector, most of whom are still furious about the comments made by the government’s ‘Enterprise Champion’ Lord Alan Sugar.
At a Business conference in Manchester, Lord Sugar claimed that SME’s, who were concerned about the lack of finance available to small businesses, were simply “moaners” who were “going bust” anyway. Lord Sugar’s contentious comments were met with widespread outrage.
However, according to the report, most small business, in a context of a lack of available finance, used their own personal credit and savings to ensure their company survived the recession.
The study praised the “robust” SME sector, claiming that “it is that sort of commitment and attitude that will put the UK’s economy on the road to recovery.”