When companies are feeling positive about the future, they are more likely to invest in additional power tools and other similar provisions. After all, to cope with increased demand for their goods or services, enterprises have to ensure they have all the necessary equipment.
Although getting additional tools will cost firms money, this could prove to be a good investment, particularly if it helps them to benefit from raised levels of custom.
Positive sentiment
It seems as though demand for power and hand tools may be on the increase in the UK at present. After all, the latest Small Business Index from the Federation of Small Businesses (FSB) suggested that companies around the country are optimistic about the coming 12 months.
For the fourth consecutive quarter, the index grew during the final three months of 2013 and it exhibited a year-on-year rise of 27.2 points. In the last quarter of 2013, the index measured +21.6. This compared with -5.6 during the same period in 2012.
According to the FSB, this optimism was replicated in all regions of Britain and in each business sector.
Raised investment
Reflecting the increase in confidence, more businesses reported that they are planning to invest in and explore the global trade market. Meanwhile, many firms expect to see rapid or moderate expansion over the coming year. Furthermore, 23.1 per of respondents stated that they expect to make capital investments in 2014. Companies also appeared keen to take on additional members of staff. The FSB suggested this may be ahead of the Employment Allowance, which comes into force in April.
The index also revealed that that one in ten firms are running above capacity, while a third are operating at full capacity.
In addition, the number of firms refused credit applications during the quarter was the joint lowest share since the beginning of 2012.
Economic growth
Responding to the figures, FSB national chairman John Allan said: “Confidence has been in positive territory for a full year, giving economic growth solid foundations moving into 2014. Small firms are creating more jobs and investing in their business and there are encouraging results behind the headline figures, with promising trends evident across the main areas of expansion, investment and employment.”
However, in a warning, he added: “[The] government must not be complacent – helpful initiatives were announced in the Autumn Statement, particularly on business rates. This, alongside the refocusing of Funding for Lending should continue to keep small firms in the spotlight. However a sustained recovery is perhaps some way off as the worldwide economy remains uncertain.”
Online
When firms need to stock up on additional tools in a bid to meet rising demand for their goods or services, they are increasingly heading online. The internet offers a quick and easy way to source the relevant items.
As long as bosses are careful concerning which suppliers they choose while using the web, they can benefit from excellent quality tools such as turnkey barrier isolator systems at affordable prices. In turn, this can make it easier for businesses to exploit improving economic conditions.
About the Author – Anna Longdin is a freelance blogger has written extensively on the topic of business equipment for a range of top sites, including Brammer.
