However, the pressurised economy will not stop businesses investing in their companies, as just under half of businesses (47%) questioned by the e-IC said they planned to invest in IT-related products, citing their need to become more effective in the marketplace as the main reason for their spending plans.
In addition, nearly a quarter (24%) of companies said they would like to see more support available to SMEs on a day-to-day basis generally.
The survey was conducted by e-IC, as a barometer of how businesses in the region were feeling at the end of the first quarter of the year amid the well-documented ‘doom and gloom' of the current recession.
Diana Thompson, business director at the e -IC, commenting on the survey findings said: "It is clear that SMEs are going to play an important role in helping the country come out of recession when the upturn arrives. We work alongside these businesses every day and felt it was important to take the pulse of what they were experiencing and thinking in the current challenging trading conditions. While acknowledging the issue of confidence, nonetheless, we are heartened to see that they still plan to invest in their businesses during this year, despite the inclination to perhaps not do so. This will stand them in good stead for their future trading prospects."
Unsurprisingly, a reduction in the tax burden was one of the main changes desired by SMEs to help them survive the economic downturn. This finding mirrors research carried out at the beginning of the year by business information company Creditsafe, which revealed that small businesses were spending a significant proportion of expenditure on taxation.
Regardless of their level of optimism, the wish to grow existing business levels in 2009 was cited as the main focus area for the small businesses questioned. Increasing marketing and promotional activity was the second most popular response.
The survey covered over 60 businesses from a range of market sectors, including creative industries, engineering & design, food & drink, leisure & tourism, medical technologies, professional and business services
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