Mid-sized Firms are ‘Unsung Heroes’ of Europe as Economic Contribution Hits €1trn
57% of UK medium-sized firms expect growth this year with many focusing on cost control, efficiency and exporting to gain traction
The mid-sized business community are driving the European economy, contributing a total of €1.03trn in 2014 – with this number expected to rise to €1.06trn this year – according to a report by Sage Enterprise Market Europe and the Centre for Economic and Business Research.
The research, which looked at the economic impact of small firms in 12 countries across Europe, revealed that 57% of UK firms plan to grow this year by focusing on cost-management and increasing business efficiency.
The report also found that the majority (77%) of Britain’s medium enterprises are exporters, with 43% relying on overseas activity for over 20% of their revenue and 52% stating that Germany will be a key market for exporting growth.
Other key findings in the report were that mid-sized businesses (which account for just 1% of the business demographic) generated 20% of the overall European turnover and 17% of its workforce. And this is expected to rise as 39% predict turnover to increase by 10% and 55% expect to hire new staff, creating 124,000 new jobs by 2019.
Additionally, medium-sized businesses were also found to be key drivers in innovation with 63% creating and implementing new products and business practices.
Sage Enterprise Market Europe’s CEO, Jayne Archbold, commented on the report:
“More than any other market, mid-sized businesses have shown that they are some of the strongest incubators of innovation.
“The fact that innovation is at the heart of this sector and that mid-sized enterprises are investing billions in research and development sends the message that these ambitious, skilled enterprises are punching above their weight when it comes to driving economic growth. Mid-market companies are the unsung heroes of the European economy.”
For more information on the report and a link to the full document, take a look at our sister’s site coverage here.