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Bright future for Swedish small business but warning for shortages of key skills

Thursday, 03 May 2012
Small businesses in Sweden and especially in Stockholm harbour more hope about the future compared to the rest of the country. But an obstacle to growth may be the difficulty in finding suitable labour force.

Swedish small business, that with (1-49 employees) have continued to weaken since the autumn. But it looks like that class of companies expect brighter economic turn around in the coming year. The economic indicator, Småföretagarbarometern produced by Sifo on behalf of entrepreneurs and Swedbank which is a summary of the balances orders, turnover and employment, fell to 63 from 83 in the autumn poll. One year ahead it is expected the indicator will rise to 93.

Stockholm on its part has seen the third strongest small business economic development in the country, ahead of Västerbotten and Södermanland, and the future looks even brighter. At least if one believes small business owners themselves.

“Despite the slowdown, about half the small businesses have had increased sales. That suggests a relatively favourable order situation and a sign that the weaker global economy so far had a relatively limited impact on the Swedish small businesses, says Jörgen Kennemar economist at Swedbank.
But weaker world economy and higher commodity prices are the biggest economic risks that small businesses see.

The index figure for Stockholm in the spring of 2012 standing at 75, but is expected to increase to 121 by next year - the highest in the country. The greatest obstacle to growth in Stockholm will be according to the measurement are the Entrepreneurs having difficulties in finding suitable labour.

Four out of ten small business owners say they in the past year have been forced to refuse orders because they could not find suitable workers. Worst is in the services sector.
By Scancomark.se Team



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