Though none of the survey participants currently had a business listed on any stock exchange the snap poll of 500 British business owners – conducted by the team behind the Lloyds Bank British Business Excellence Awards – found that 81% of business owners would opt for the London Stock Exchange if they were suddenly in a position to list their company on an exchange one day.
The top five reasons given for their desire to join the Main Market were found to be:
- Creating a market for the company’s shares – 89%
- Increasing the business profile – 83%
- Creating opportunities to access capital – 71%
- Allowing for an objective valuation of the business – 70%
- Facilitating potential and future acquisitions – 52%
Asked why they’d choose the LSE first and foremost as their stock exchange of choice, 77% felt the LSE was ‘well respected’ around the world, while 60% regarded it as one of the most stable over the course of time.
Additionally, 45% of all business owners were of the opinion that international markets present too many risks, from political and regulatory through to economic.
Sarah Austin, Director of the Lloyd’s Bank British Business Excellence Awards, commented:
“There’s a lot of noise right now about businesses moving from the LSE to the NYSE, but this is nothing new. It happens all time across the world. Business owners should always be looking to maximise opportunities, and just as we’re hearing that British businesses are leaving the LSE to join the NYSE, there are many businesses moving from the NYSE to the LSE to access our Main Market.
She added: “Our research shows that businesses aren’t concerned about the news, and they still feel the London Stock Exchange is strong, stable and well respected.”
