Small firms can thrive during recession, expert claims

Date: 9th April 2009

Britain's small businesses can use the recession as an opportunity to get ahead of their rivals, it has been claimed.

A representative from smallbusiness.co.uk, a resource for company managers, believes that owners and directors should also spend the coming months positioning themselves for when the upturn arrives.

Marc Barber, editor of the site, said: "If you are a good business with real ideas and you have the right financial structure, not overloaded with debt, you will not only survive but you can take advantage from a weakened competition."

Despite this, he added that the economy was "not out of the woods yet" and it would likely be another 18 months of "harsh times" for small firms.

Business managers looking for advice on how they can survive the economic downturn should consult their local accountant.

Research by the Confederation of British Industry earlier this month suggested that the effects of the credit crunch could be easing, with more businesses reporting easier access to lending.