West Mids businesses 'harbouring expansion ambitions'
Almost one in five West Midlands businesses said they would use borrowed funds to expand their business into new markets. According to a survey by Barclays Business, 18 per cent of companies in the region which indicated they would take the plunge and borrow money said they would invest the funds into new business.
The same number of companies said they would use the money to buy new equipment for their business.
Of those companies surveyed that had borrowed money, 42 per cent said they thought the experience was “positive” for their business.
Barclays Business said the new research signals “a strong focus on growth and an ambition to take their business onto the next level”.
Although some small businesses in the region focused on borrowing to fund growth, the research suggests that 32 per cent of small businesses in the region are more nervous about debt since the start of the downturn.
Jeremy Stockdale, head of Barclays Business in the central region, said: “In the current climate, for some businesses, borrowing is a valuable lifeline. However, for others it can also be a way to expand and diversify into new markets. Obviously this is crucial for individual businesses but also for the UK economy, as their growth will drive the recovery.”
