Credit crunch weakens small business competitors
Commercial insurance
6th October 2008
Small businesses may be able to take advantage of the opportunities provided by the credit crunch as long as they manage to avoid the possible crises, it has been claimed.
The Institute of Chartered Accountants in England and Wales (ICAEW) has argued smaller firms need to increase their focus on financial management and make sure they stay within the terms of any borrowing they may have.
Clive Lewis, head of small and medium-sized enterprises at ICAEW, said: "A surprising number of small businesses said that one of the positives from the credit crunch is that their competitors have been weakened."
He added a number of smaller businesses are looking to acquire weakened competitors to boost their position in the market place.
According to the UK Enterprise Survey Report from the Institute of Chartered Accountants in England and Wales, 62 per cent of firms say they have felt the impact of the credit crunch while 89 per cent claim businesses growth remains a major objective.
