Friday, September 19, 2014

The optimism of the Dow fails to small business – Online

The optimism of the Dow fails to small business – Online

The optimism displayed by the big business of Ibex around improving the economic situation has not yet caught on among SMEs and freelancers. Half of this group, which represents 99.8% of the tissue empresarial- believes that Spain’s situation improves so slowly that the country does not emerge from the crisis more or less until 2018 This follows from a macro- by Sage among 1,800 small businesses in which it is understood out of the crisis as “steadily grow and create jobs.” The other half of respondents placed the end of the crisis between 2014 and 2016

There is a second data also reflects the pessimism of small entrepreneurs. 53% of the self continues to maintain its target for 2014 ‘survival’, while in the case of SMEs this figure drops to less than half the year and aims to grow happens. The latter will always occur and when, says the study, two main concerns are reduced: uncertainty about the future and lack of funding.

The lack of optimism and fear of a new economic relapse is also transferred to the working conditions of employees of SMEs. A recent report by Zurich Insurance Group notes that in the last 12 months have increased the number of small and medium enterprises has reduced the wages of their employees.

The percentage of employers surveyed supporting this cut has happened in the last year from 10% to 15%, according to the study. This is the highest rate among the 19 countries covered by the report, which involved major European, Latin American powers and several Asian countries. The Zurich study also highlights that a percentage of 6% has increased, on the other hand, compensation of employees, which is more than two points to records last year.

The report notes that most of the companies commitment to expand its business in the domestic market -opposite exports- by lowering the price of their products and the diversification of its offer. This has allowed these companies to improve competitiveness against its European rivals, as seen from the X sector by Sage.

Small & Medium Businesses claim the government support they can use shuttle ramp to growth and employment generation. In this sense, the main demand of this group -destacada by 64% of those polled is the tax cuts, while 14% requested more hiring subsidies and 11% a tight grip on Public laAdministración.

In addition, respondents indicated that the main levers for economic growth improved access to credit, market work more efficient and reducing the high rates of public and private defaults. The president of the CEOE, Juan Rosell, yesterday called for more reforms to help small businesses grow in size and competitiveness. The representative of employers, who participated in the report of Sage, considered that “monetary policy has temporarily subsided, but the competitive countries make reforms, reforms and after those, more reforms.”

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