The vast majority of SMEs surveyed by small business insurance company Insureon said they plan to grow in 2017, reports said Thursday (Dec. 15).
In its 2017 Small Business Outlook survey, Insureon’s Small Business Institute found that 82 percent of SMEs plan to grow next year — but there is less agreement on how, exactly, they plan to do so.
The majority, 58 percent, reported plans to buy new equipment or furniture for their businesses, while more than a third said they are looking to introduce a new product to sell. A third said they plan to hire a new employee, 30 percent pointed to offering a new service for their customers and 23 percent said they will move to a new location.
“It’s encouraging to see that, post-election, the majority of these leaders are optimistic and have growth plans for 2017,” reflected Insureon CEO Ted Devine in a statement. “The nation’s smallest businesses have always been a key economic driver. They’re responsible for creating 63 percent of new jobs in the private sector. That this group is poised for expansion is a good sign.”
According to the report, there are some companies that don’t have such an optimistic outlook for the new year. A quarter of woman-owned small businesses said they have no growth plans for 2017, while 11 percent of men-owned small businesses said the same.
The results also highlight the need for SMEs to update their risk mitigation efforts.
“With growth comes increased risk exposure,” the company said in its announcement, adding that “small businesses should update their risk management protocol, including insurance policies, as they expand.”