São Paulo – Micro and small companies in the state of São Paulo registered growth of 9.6% in revenues in 2010, totalling 305.8 million Brazilian reals (US$ 183.4 billion). In the state there are 2 million micro and small companies, one third of the total in Brazil.
According to research Sebrae Indices, promoted by the Brazilian Micro and Small Business Support Service (Sebrae), promoted by the organisation, in December the companies had revenues of 30.7 billion reals (US$ 18.4 billion), a reduction of 19.2% in comparison with December 2009. The service sector leads, with growth of 22.6%, followed by trade (22.5%) and industry (5.7%).
According to the superintendant directors at the Sebrae, Bruno Caetano, the growth is due to the strength of small and micro companies in São Paulo which recovered, after an unsuccessful 2009, due to the global financial crisis, with the return of domestic consumption in the country. In 2010, 189,000 micro and small companies were opened in São Paulo.
"The year of 2010 was exceptional for Micro and Small companies in the state of São Paulo, with expressive revenues, the highest of the last 12 years, since the research started being published."
Caetano pointed out that among the 2,000 people researched in São Paulo, most declared they were optimistic regarding the future of micro and small enterprises in 2011, with 44% of those interviewed saying there would be maintenance of company revenues in the first half, and 47% saying that revenues should follow the national economy.
To Caetano, the lower National Budget announced yesterday (9) should have not much impact on the life of micro and small companies. He said that the worst evil would be the return of inflation. "Micro and small companies must be aware as they may be influenced by the government’s lower investment and purchases. To compensate, companies must improve their management standards, pay attention to cash flows and adjust their maturity and expense calendars."
*Translated by Mark Ament
