More than half (52 per cent) of UK small and medium-sized enterprises (SMEs) have embraced international trade and begun selling their products and services to customers overseas.
The news follows a survey carried out by Royal Mail as part of Small Business Advice Week, which found that the number of SME exporters in the UK has risen substantially over the past two years.
According to the study, just 40 per cent of SMEs were exporting their offerings back in 2016, indicating that the number of small businesses trading internationally has risen by 12 per cent in recent years.
However, the research reveals that the remaining 48 per cent of firms that do not export generally feel reluctant or apprehensive to explore new inroads for doing so.
When asked why, businesses cited the following as factors that were ‘putting them off’ branching out:
- Cost and complexity of getting through customs (34 per cent)
- Knowledge of the market (20 per cent)
- Risk associated with currency conversion (19 per cent)
The study indicates that many SMEs need specialist advice in order to help them rise above their anxieties and take the next step.
A spokesperson on behalf of Royal Mail said: “Expanding your business overseas might seem like a daunting prospect. But, the reality is that e-commerce is driving global trade.
“If UK SMEs want to benefit as a result, they need to expand into international markets.”
He added: “Many of the perceived barriers our research has identified can be easily addressed.”
Reanda UK is a subsidiary of leading independent accountancy firm Grunberg & Co Limited. Our aim is to help businesses and individuals to navigate the UK’s world-renowned business and tax infrastructure, and to support them with their international ambitions. To find out how we can help you, please contact us.