The number of Midlands SMEs which expect the majority of their turnover to come from international trade is set to double (from 5% to 12%) by 2021. According to new research from HSBC these international growth aspirations are motivating Midlands businesses to re-shape their recruitment plans and the skill set of current staff.

In order to have the skills on board that are needed to enable international trade growth, 17% of Midlands businesses are recruiting new staff and an additional 24% are training existing staff.

Debbie Chilton, Regional Head of Business Banking Midlands at HSBC said: "With our research showing that eight out of 10 (82%) of Midlands businesses are planning to trade internationally, it is important that they have the right skills on board. These businesses have told us that over the next year they see having financial management expertise and cultural understanding as crucial to developing their international trade. At HSBC, we are keen to support businesses with both skills and we encourage them to speak to us to see how we can help."

International trade is seen as a key opportunity for Midlands businesses as they look to take advantage of a broader customer base (38%), spread business risk (29%) and allowing businesses to take advantage of buoyant international markets (33%).

Key international skills 

HSBC's new research has shown similarities in the skills business feel they need but also lack for international trade, further highlighting the need for recruitment and training to ensure staff have the skills that will assist trading overseas;

Skills businesses feel are needed to trade successfully

1. Product reinvention

2. Financial management expertise

3. Cultural understanding

4. Sales and marketing

5. Expertise in local legislation

Skills businesses feel are currently lacking to trade successfully

1. Financial management expertise

2. Sales and marketing

3. Language skills

4. Cultural skills

5. Market contacts

Support for Midlands businesses

HSBC has recently launched a new initiative to support Midlands businesses that are creating new jobs, which offers discounted lending terms. Small business customers that apply for an Employer Business Loan receive a 1% discount on the loan interest rate they pay for each person they have hired in the last six months, up to a maximum of 3%. Alternatively, customers that employ someone in the following six months receive 10% of the interest paid as cashback (payable at the end of the loan) for each person hired, up to a maximum of 30%. Small businesses can even combine the two and benefit up to a maximum of three new employees through a combination of the above offers.

HSBC has also launched a new initiative to support growing UK businesses currently or planning to trade internationally. The International Business Overdraft offers a reduced interest rate, for each overseas country a business is trading with, up to a maximum of 3% for the first 12 months.

Debbie Chilton continues: "As Midlands businesses look to grow and create jobs, we're keen to offer them the additional help and support that they may need. The Employer Business Loan and International Business Overdraft rewards those who are preparing for economic growth and future success and fits well with HSBC's strategy of helping Midlands businesses throughout the economic cycle".