Fears around exporting holding IT businesses back.
Only 30% of IT companies have ever traded overseas, according to a new survey by currency exchange business Caxton FX.
As one of the largest wealth creators in the UK, and one of the fastest growing industries in the last decade, the IT sector presents enormous opportunity for international expansion.
"Government figures show that businesses in the ICT sector generate more than a third of the UK’s exports, making the sector vital to Britain’s economic recovery and full of potential for further growth," said Rupert Lee-Browne, CEO, Caxton FX.
Considering the millions generated by this small percentage of IT businesses, the opportunity for further overseas revenue in the sector is enormous, especially considering exports by machinery and transport industry alone bring over £81bn to the UK economy.
However, the survey revealed that a huge number of IT businesses are afraid to look beyond British shores for trade reducing the opportunity for growth.
The survey conducted by Caxton FX of 1,000 owners of small to medium businesses found that 70% of IT enterprises in the UK have never traded overseas.
When asked why, nearly a half (46%) referenced a lack of knowledge about trading overseas and more than a third (37%) said the greatest obstacle they faced was identifying local contacts, while a further third (34%) wanted to avoid the perceived mountain of red tape.
"The UK economy is finally showing signs of improvement, therefore it’s crucial that ICT businesses – both large and small – have the confidence to go out there and discover new global opportunities," said Lee-Browne.
"It’s never been easier to source local contacts overseas and manage the process of currency exchange. Now is the time for the ICT sector to lead an exporting explosion in Britain."