Three-fifths of small and medium-sized enterprises (SMEs) in the UK expect their turnover to rise in the coming three months, according to new research from Uswitch’s business savings division.
The findings suggested smaller firms are demonstrating resilience despite wider economic uncertainty, with many planning to invest in growth.
60% of SME owners anticipated either significant or moderate growth over the next quarter, while just 14% predicted a decline.
A further 27% expected no change in their turnover.
More than half of businesses (51%) said they are likely to seek external funding to support their ambitions, with younger entrepreneurs leading that demand.
Among 18 to 34-year-old business owners, 84% expected growth in the months ahead and nearly three-quarters (74%) plan to seek finance.
In contrast, only 30% of entrepreneurs over 55 expected turnover growth, and 69% said they are unlikely to pursue external funding.
The research highlighted a stark divergence in outlook.
While younger entrepreneurs were eager to expand, older business owners appeared more cautious.
A quarter (25%) of over-55s expected their turnover to fall in the next three months, citing rising operational costs (53%), government or regulatory uncertainty (48%) and inflation or weaker consumer spending (46%) as the main reasons.
Confidence among SMEs also contrasted with the picture for larger firms, where weaker domestic and export sales have dented optimism.
SME owners pointed to increased consumer demand (27%) and improved access to finance (23%) as key drivers of their positive outlook.
Still, operational costs and inflation remained pressing concerns across the board, cited by 32% and 30% respectively.
Andy Elder, Uswitch business savings expert, said: “You can see two very different instincts in the data.
“On one hand, younger founders are ready to back their plans with finance and scale quickly; on the other, more established owners are tightening their finances and managing costs.
“If you run a small business today, the practical takeaway is simple: know where you sit. If demand is returning for you, make a plan to fund and protect growth.
“If costs are the problem, focus on pricing, efficiency and the areas where you can control spend.
“Either way, being deliberate about finance, whether you borrow or restructure, is what separates businesses that grow from those that merely survive.”
