Tenon Forum research reveals that almost half of entrepreneurs believe a downturn will present opportunities for their companies.

These range from the opportunity to win clients from competitors (51%) to the chance to grow their business organically (36%). Whilst a quarter (26%) see an opportunity to acquire struggling rival businesses as the credit squeeze tightens its grip.

When it comes to seeking opportunities in the downturn, those who have previous experience of economic downturn seem more upbeat than those who haven’t. Half of those who have experienced recession can see potential opportunities, compared to only 43% of those who haven’t – implying that this experience is boosting entrepreneurs’ confidence when it comes to staying afloat. Entrepreneurs in London see the most potential opportunities from the downturn (53%), closely followed by those in the East of England (47%), the East Midlands (46%) and the South West (46%).

Carl Jackson, Head of Tenon Recovery, commented: "Entrepreneurs are aware of the opportunities for their businesses and a significant proportion are actively seeking opportunities during the downturn. However, entrepreneurs do need to be vigilant when it comes taking risks in the face of a potential recession. By ensuring they have robust business plans in place, SME owners should be able to see their business survive and thrive through the tough times that may be ahead."