Moor Right for Acquisitions
A recent national online survey of small and medium sized enterprises conducted by KPMG, provides a picture of how businesses are responding to the changed economic environment and what the outlook is for 2009. Of great interest to us should be the number of people surveyed who are looking at acquisitions or buying assets from competitors.
50% of SMEs expect the level of economic activity will contract.
Only 3% of SMEs report a negative effect on access to sourcing additioanl debt and refinancing additional debt. Managaing costs, profitability, cash flow and liquidity are the biggest concerns.
50% of SMEs would like to see the Australian Government provide additioanl fiscal stimulus.
54% of SMEs are looking to increase their market share and 23 % will consider acquiring assets from underperforming companies. Additionally, more than 25 % will look to acquire a competitor.
53 % of SME’s believe that as aresult of the economic climate they will be more focussed on results ( profit ).