Expert View: New firms have the freedom to grow
A market analysis report on Merseyside has revealed that the region is showing a depressing number of businesses in decline. Of the 1020 businesses surveyed, 442 showed growth rates of 10% or less and 201 showed growth of 20% or less. It’s easy to assign these figures to the downturn in the economy, but people are really missing the point.
We are riddled right now by negative stories about business but whilst what we are flagging are depressing statistics, the answer isn’t in government intervention to boost the economy or a drastic change in fortune for the general UK climate.
Of course that would help! However, we need to look at far more organic processes that business owners and would-be entrepreneurs are failing to adopt.
There are a number of factors on Merseyside that are contributing to the poor levels of growth amongst businesses in the region. Aside from issues that are cultural and historical and thus well recorded, clear gaps in the development of many companies following, for example, start up help. Companies are too often left floundering and wondering what their next step should be.
Many businesses outside of the start-up category have secured growth but can’t access the next level in expansion and profitability. It is true that in common with other major UK cities, Merseyside has many agencies in place to provide help to business. In view of its EU assistance, one could argue that businesses have had more than their fair share of support. However, the stumbling blocks still appear to be in place and these figures highlight the problem.
I believe that the lack of role models and aspiration in the region are real reasons why the figures aren’t better. We need more dragons to guide business.
I'm passionate about seeing more companies reach their potential on Merseyside. The multiplier effects of business growth and business success are obvious for the wider economy here and in difficult times, companies need to achieve their objectives. This has never been of more value.
Good luck with your growth.
Bob Evans
(Bob is featured in this months LDP Business magazine sharing his story on how he started his own business.)
