A recent report produced by the London Stock Exchange Group, 1000 Companies To Inspire Britain 2018, has revealed that small and medium sized enterprises (SMEs) are having a significant impact on the UK’s economy and are considered vital for the UK’s economic growth, particularly in the North West.
A company is generally defined as being an SME if it meets two out of three criteria: it has a turnover of not more than £36 million, it has fewer than 250 employees, or, it has a balance sheet total of not more than £18 million.
The London Stock Exchange report indicates that company revenue for 2018 was growing at an exceptional rate of 71% on average, exceeding the 2017 rate of 70%.
Companies in the North West were noted as growing at the fastest rate with a staggering 232% average annual revenue growth.
In addition, statistics from the Department for Business, Energy and Industrial Strategy (BEIS), estimated there to be no less than 5.7 million SMEs in the UK in 2018.
According to the Federation of Small Businesses, SMEs account for 99 per cent of private sector businesses in the UK and employ in the region of 16.3 million people, which amounts to 60% of all private sector employment in the UK. The combined annual turnover of SMEs in 2018 was £2 trillion, equating to 52% of all private sector turnover.
As more and more SMEs are forming and playing a substantial role in the success of the North West’s and UK economy we are here to assist with any Corporate, Commercial, or Employment issues that SME owners may face.
For more information on our comprehensive and bespoke business services, please contact Andy McNish, Sonio Singh or Shiva Shadi on 0161 832 3304 or visit our website at https://www.dbf-law.co.uk/solicitors-for-business/.
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