We have just published the results of our fourth QCA/BDO Small and Mid-Cap Sentiment Index, which shows confidence of the small and mid-cap sector dipping to September 2011 levels. The findings also expose the equity markets as a major concern for small and mid-caps, with liquidity being cited as a draw-back.
The quarterlyindex, run in partnership with BDO and carried out by YouGov, tracks the business confidence of small and mid-cap quoted company sector.
In addition to our key economic trackers, we also asked the sector for its views on corporate reporting.
Some highlights include:
- 71% of small and mid-cap quoted companies are pessimistic about prospects for the economy in the next 12 months. This is the most downbeat companies have been since September 2011.
- 55% of small and mid-cap quoted companies are optimistic about their own business prospects despite the gloom about the general economy. But, this is at the lowest level since September 2011.
- 46% of companies anticipate further fundraising in the coming year, which is at the highest level since September 2011, with 45% likely to use public equity.
- 28% of companies are likely to use bank finance as a way to raise funds in the coming year. This is down significantly from April 2012 (50%).
- 83% of small and mid-cap quoted companies believe equity markets are either having no impact or hindering their development.
- 65% of companies have not undertaken any planning for any of the likely outcomes of the Eurozone crisis.
As ever, please tell us what you think about it and let us know if you have any questions that you want us to ask the sector next time.