Scottish Enterprise reports company growth
Scottish Enterprise’s latest quarterly review of the companies it works with most closely found that almost two-thirds of Scottish businesses saw an increase in turnover in the previous six months.
The agency’s review of account managed companies in the final quarter of 2011-12 also found that almost half reported an increase in employment and 40 per cent saw an increase in operating profits.
In addition 75 per cent said they expected turnover to increase over the next six months, and over 60 per cent anticipated an increase in export activity.
Scottish Enterprise works with almost 2000 companies with significant growth potential through its account management process. This involves working intensively with a company’s management team to understand its growth opportunities and support it to achieve these better and faster than would otherwise have been possible.
A separate review of exporting activity by account managed companies in 2011, looked at the 60 per cent of SE’s account managed companies which are exporters. The review found that factors such as company size, turnover and location all impacted on whether a company exported or not, with companies in sectors such as textiles, energy and chemical sciences more likely to export.
Companies in this group were also more likely than non-exporters to say that turnover and operating profits had increased over the previous six months.
Julian Taylor, Director of Strategy and Economics at Scottish Enterprise said:
“We work most intensively with the companies in Scotland which have the greatest growth potential because the evidence tells us they will make the most significant impact on the economy, creating jobs and driving productivity.
“Global trading conditions are tough, but there are still particular opportunities for companies looking to develop their operations by innovating, investing and exploring new markets. These latest reports highlight the significant impact this type of activity can have on company success and growth."
The results have been announced as Scottish Enterprise publishes its latest evidence base, which it uses to underpin its Business Plan activities. The evidence base, which is constantly updated, looks at economic data and reports, feedback from companies and evaluations and assessments of current business activity. The intelligence gathered in this informs SE’s policy and strategy to drive business growth.
Its publication coincides with a campaign by Scottish Enterprise, Scottish Development International, Business Gateway and other partners, that calls on Scottish companies to say “Yes to Growth” and aims to stimulate greater investment by businesses.