Almost half of small businesses in the United States expect to double their exports by 2015, and 66 per cent say that up to 25 per cent of their annual revenue comes directly from exporting, according to a survey by UPS.
The “Perceptions of Global Trade” survey of more than 1,000 American SMEs, found that 24 per cent were currently engaged in global commerce.
Those SMBs who don’t export any of their products say the dour economic news of recent years has discouraged them, “but that’s exactly why SMBs should be expanding to international markets,” said Dan Brutto, president of UPS International.
“With 95 per cent of the world’s consumers located beyond US borders, it’s clear that the path to economic growth is through opening new markets for US businesses.
“This survey tells me that all of us in a leadership position need to step up our efforts to support and educate small-business owners in particular on the potential of markets outside the United States.”
Small companies reported most success exporting to the UK, Canada, Mexico and Australia – countries with which the US either has free trade agreements or bilateral trade relations.
In contrast, nearly two-thirds (62 per cent) of SMB exporters say they have not had success exporting to the BRIC countries (Brazil, Russia, India, China) in the past ten years. There are no US free trade agreements with these nations.
Of the exporters surveyed, 64 per cent saw a financial return within two years and 34 per cent saw a financial return in less than six months. Almost half (49 per cent) of respondents said they expect to double their businesses’ exports by 2015 and 66 per cent say that up to 25 per cent of their annual revenue comes directly from exporting.