'Super SMEs' survive in boom or bust

Date: 9th December 2008

A number of business start-ups are likely to emerge from the other side of the recession relatively unscathed, according to one expert.

David Molian, a lecturer at the Cranfield School of Management, has identified a breed of business start-ups which can survive any financial situation, regardless of demand downturn or taxation hikes.

Known as 'gazelles', he highlighted the attributes of those business start-ups which consistently do well whatever the economic climate.

Mr Molian said: "[There's a] minority of smaller businesses that outperform the rest and they do it in boom, and they do it in bust.

"Talented entrepreneurs … don't diversify too early, they tend to find a profitable niche opportunity and then they really focus on that.

In other news, the consultancy firm 4Networking recently claimed that business start-up managers who meet with clients on a face-to-face basis are far more likely to survive the recession.