LONDON, October 9, 2012 /PRNewswire/ --
- Optimism presides: Many more SMEs are optimistic than
pessimistic despite tough times in the last year
- Working hard for new customers: A majority of SMEs in
five out of six countries reported increases in new customers. The
average working week for a business owner is 42.8 hours, but the
Germans work 8.5 hours longer, on average, than the British
- Stresses and strains: The downturn has brought more
stress to 43% of SMEs and 31% reported sleeping problems. More
women reported stress, sleeplessness and health problems than
men
- Eager but lacking language skills: SMEs who had
recruited school leavers or graduates gave them higher ratings for
keenness and motivation than for language skills
- Few SMEs seek outside help: Only 22% of SMEs had turned
to outside help from elected representatives and business groups -
and those which did preferred a business organisation or a local
representative to a national politician.
A wide-ranging report published today gives a unique and
revealing portrait of entrepreneurs in Europe and the USA as they cope with another year of economic
crisis. Despite financial pressures, stress and sleeplessness, they
still have faith in their futures and maintain the determination to
succeed.
(Photo:
http://photos.prnewswire.com/prnh/20121009/567613 )
Published today by Hiscox, the international specialist insurer,
the fourth DNA of an entrepreneur study reports findings
from research of 3,000 owners or partners in small and medium-sized
businesses in six countries: the United
Kingdom, the United States,
the Netherlands, Germany, France and Spain.
Bronek Masojada, CEO at Hiscox,
commented:
"Our fourth annual study of SMEs confirms what we know from
working closely with them: they consider and manage a wide
variety of local, national and global risks everyday while keeping
faith in their values and ambitions.
We hope that the insights in our study will help all those
supporting SMEs make their essential contribution to economic
recovery."
Key themes from the study:
Optimists outnumber pessimists
Although SMEs had experienced tough trading conditions, the
study found 48% of respondents were optimistic about the year ahead
for their business, compared to 27% who declared themselves
pessimists and 26% who were not sure. The Spanish (28%) had the
lowest optimism, and the Dutch (61%) the highest. In five out of
six countries, a majority of respondents reported an increase in
new customers: the leader was Germany (72%) followed by the USA and the
Netherlands (64% and 62%). Across all countries, 75% of
respondents hope to avoid redundancies in the year ahead or even
recruit, and 61% were not letting the eurozone crisis affect their
business plans (57% in the five EU countries). As many as 91% found
benefits from running an SME compared to working in a large
company.
Tight finances - but stable
relationships with lenders
Forty five per cent of SMEs reported profit growth over the last
12 months (33% in Spain, 58% in
Germany). However, across all
countries 62% had not needed to renegotiate borrowing from a
lender, and 74% of those who had renegotiated had been successful,
partially or totally.
Stressed but determined
Across all six countries, the average working week for leaders
of SMEs was 42.8 hours, and 2.1 of those hours were spent on
government regulation. The Germans put in the longest hours - 47.1
hours on average each week (2.7 hours on government regulation).
The British had the shortest average working week - 38.5 hours,
with 1.6 hours spent on government regulation. Forty three per cent
of all respondents said that the economic downturn had given them
more stress (54% in Spain, 24% in
the Netherlands), and 31% reported
sleep problems due to increased worry. However, 30% said that the
downturn had made them stronger and more determined to succeed, and
31% said that it had spurred them on to work more efficiently.
New recruits - keen but not so good at
languages
Among the SMEs across all six countries who had recruited school
leavers or graduates in the past two years, 63% gave them high
ratings for keenness and motivation, 56% for reading and writing
and 52% for basic arithmetic. However, only 41% rated them highly
for speaking different languages (USA 33% and UK 26%).
A helping hand
Only 22% of SMEs across all countries had asked for outside help
from business groups or elected representatives. Eleven per cent
had approached a business or small business organisation, and 9% a
local councillor or mayor. Just 3% had turned to a representative
in their national parliament or assembly and only 1% of respondents
in the five EU countries had approached their MEP.
Notes to editors
Hiscox have created an infographic detailing the most telling
statistics from the DNA of an entrepreneur study in a visual
way. To view this infographic please visit:
http://www.hiscox.co.uk/business-blog/small-business-advice/dna-entrepreneur/
A full copy of the report will be available at
http://www.hiscox.co.uk/DNA from 0001 hours on Tuesday
9th October 2012.
Sample and methodology
Respondents were owners or partners of SMEs in the UK,
USA, Netherlands, Germany, France and Spain. The businesses were predominantly
service-based (79%). 92% were below £1 million annual turnover, 61%
£100,000 or below. 41% were one-person businesses and 73% had fewer
than five employees. 56% of respondents were men, 44% women. 54% of
respondents were aged 40-59, 35% under 40.
The research was conducted for Hiscox by The Survey Shop. The
sample was drawn from online panels. 3,000 owners/partners took
part between 17th-26th July 2012. Statistical accuracy: +/- 1% to +/-
1.5% for the whole sample of 3,000 and +/-2% to +/-4% for each
country's sample of 500.
Hiscox business insurance in the
UK
Hiscox is a specialist insurer offering professional indemnity
insurance, office insurance and public and employers' liability
insurance to a range of businesses including those in IT,
management consultancy and marketing.
For further information about Hiscox business insurance in the
UK, visit: http://www.hiscox.co.uk/business-insurance/
About Hiscox
Hiscox, headquartered in Bermuda, is an international specialist
insurance group listed on the London Stock Exchange (LSE:HSX).
There are three main underwriting parts of the Group - Hiscox
London Market, Hiscox UK and Europe and Hiscox International. Hiscox London
Market underwrites mainly internationally traded business in the
London Market - generally large or complex business which needs to
be shared with other insurers or needs the international licences
of Lloyd's. Hiscox UK and Hiscox Europe offer a range of specialist
insurance for professionals and business customers, as well as high
net worth individuals. Hiscox International includes operations in
Bermuda, Guernsey and USA.
For further information please contact:
Hiscox Ltd
Abi Clark, +44-20-7448-6470,
abi.clark@hiscox.com
Caroline Cecil Associates
Caroline Cecil, +44-20-7610-4110,
ccecil@carolinececil.co.uk
