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Home / Business / Small Business

Small to medium business confidence on rise

By Aimee Shaw
NZ Herald·
6 Apr, 2016 12:40 AM2 mins to read

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Overall business confidence in the economy improved by 30 per cent from September 2015 to a positive 5 per cent in March. Photo / iStock

Overall business confidence in the economy improved by 30 per cent from September 2015 to a positive 5 per cent in March. Photo / iStock

Confidence in the economy among small and medium businesses appears to be growing, according to MYOB's latest research.

More than 1,000 businesses across the country were surveyed by MYOB's Business Monitor, which showed those in the logistics sector, retail and hospitality, and the trades are particularly confident about the state of the economy, while those in Christchurch-based businesses were least confident.

Overall business confidence in the economy improved by 30 per cent in September 2015, up 5 per cent in March.

READ MORE:
• NZ businesses turn pessimistic in March
• Business confidence bounces back

Thirty-nine per cent of surveyed Auckland businesses reported an increase in business revenue compared to this time last year, with 40 per cent confident this will increase through to 2017.

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MYOB New Zealand general manager James Scollay said strong performance in the SME sector bodes well for overall future economic conditions.

"It's not surprising that we have seen such a turnaround in confidence levels, given how well many of our regions and key industries have performed over the last 12 months," Scollay said.

"Business operators were heading into Christmas last year with a good degree of caution, what they've actually found is a general improvement in their revenue and considerable stability in the local economy."

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Wellington businesses in the MYOB survey saw significant improvements, with 35 per cent experiencing revenue growth.

Christchurch-based business operators managing the CBD's rebuild expressed less confidence, with confidence declining 7 per cent.

Falling global dairy prices saw those in the primary sector's confidence decline 23 per cent, with declines likely to outstrip gains.

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