Smaller firms without websites 'missing out'

Date: 28th July 2009

Business start-ups have been advised to make sure that they maintain an online presence, with a new report showing that turnover is boosted by a well-run website.

PayPal said that firms experience an average 37 per cent increase in turnover if they maintain a site - meaning that UK businesses could receive an overall boost of up to £235 billion from using the internet in this way.

The report also highlighted the fact that a clear majority of small businesses have yet to join the online sales revolution - and have yet to set up a website.

This total includes 61 per cent of small firms which sell goods and 46 per cent of those which provide services.

Cameron McLean, PayPal's general manager for UK merchant services, said that websites represented a "key launch pad" to eventual success for small firms.

He added: "We know that consumers are looking to the internet more and more in the current climate, to search out bargains and fully research which businesses they are going to use.

"Online sales are bucking the high-street street trend and businesses should establish their online presence before they are left behind. Not having a website is like leaving your shop-front boarded up or refusing to tell customers anything about the services you provide."