A study by the Economist Intelligence Unit came out with the conclusion that mid-size businesses in the UK are feeling left out and overlooked by Government, despite their disproportionate contributions to business revenue, compared to larger firms. While in the UK, 2% of firms are classified as mid-size, these account for 14% of job-provision and 16% of corporate revenue.
The comparison is not as stark as that of the US, with mid-size companies comprising 1% of the total number, but contribute 30% of corporate revenue, but still, mid-size companies in the country are feeling the brunt of globalisation—and that Government is doing less and less to support them in terms of protection, in view of intense competition from lower-cost outsourced services in developing nations.
The study was conducted among companies with annual turnovers of $20 to $500 million (or the equivalent) across Europe, Asia and the Americas.
Company formation and business solutions experts express support for mid-sized businesses, being one of the driving forces of innovation and growth. Mid-sized firms are small enough to be flexible and nimble in business strategies, and big enough to be able to make a difference. Globalisation may yet be another advantage of mid-size firms, as it may be an opportunity to expand into new markets.