Data from the latest Business Confidence Index by Business Link in London has revealed that 63% of Black, Asian & Minority Ethnic (BAME) businesses in London are planning to grow in the next year, more than the capital’s average of 58% but still fewer than in October 2009 (67%).

The quarterly Business Confidence Index, which provides a regular gauge of business sentiment amongst London’s small business sector, revealed that seven in ten (70%) BAME businesses have been affected by the current business environment. This has led to a decline in profits (58%), cashflow constraints (53%) and limited investment or funding (41%).

In order to deal with recessionary pressures, 61% of these businesses are focusing on core products or services, whilst 39% have reduced prices. However, almost three in ten (28%) are not considering any further measures and almost seven in ten (68%) are optimistic about the next twelve months.

BAME businesses are looking to increase marketing activity (56%), enter new markets (43%) and launch new products (40%) in order to grow their businesses.

Laurence Gouldbourne, Head of Diversity and Equality, Business Link in London, commented: “The last year has been a difficult one for all businesses, but BAME businesses have been particularly suffering with financial concerns.

This has clearly had an impact on their plans for growth,but it is encouraging to see that the majority of them are feeling optimistic about the coming year. However, business recovery might be some way behind the economic recovery we are currently seeing, and so BAME businesses are not out of the woods yet.

We would urge these businesses to contact Business Link in London for support and advice as they plan for the coming months.”
For more information please contact:

Kiren Pooni / Jo Nussbaum, Flagship Consulting
0207 886 8440
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Business Link in London
•    Business Link in London is a free and impartial business advisory service available to anyone starting up or running a small or medium sized business.  It is the first place to go for high quality, actionable information and practical advice to help business people succeed directly or with further expert assistance.

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•    Visit www.businesslink.gov.uk/london or call 0845 6000 787.

Business Confidence Index

Published quarterly, the Business Confidence Index provides a regular gauge on business sentiment amongst London’s small business sector.
The Business Confidence Index surveyed over 3,000 London SMEs, including Business Link in London’s clients, over 1,200 of which were Black, Asian and Minority Ethnic businesses.

It was conducted by B2B Marketing and interviews were conducted between January and February 2010 through a combination of online and telephone interviews.
Real Help for Businesses

To find out more about the various support measures open to businesses, visit http://www.businesslink.gov.uk/realhelp