How will leaving the EU impact on SMEs?

by | Jun 22, 2016 | Translators' Column

Iolante is in the business of translating documents for business as well as private clients. The majority of our business clientele are SMEs. Currently, most of these clients are UK-based. Leaving the EU will have many consequences.

With the UK being an EU member state, many of our clients avoid red tape by simply listing their products on Amazon and eBay. This saves them the complication of having to set up complex distribution networks in other countries. Because there are no import tariffs and regulations within EU countries, all they have to do is pack their products up and post them after completion of a sale. It’s a growing business, especially for small, flexible British entrepreneurs. Our client base sells a wide range of products, including marquees, jewellery and metal cleaners, baby clothes and wedding shoes. They trade in a number of EU member states. Simply and unrestricted.

None of these small entrepreneurs have placed any work since the referendum.  The reason given is that they are waiting to see if their conditions for selling into the EU will change.

Already, the process of the referendum has resulted in businesses being concerned about future trading conditions. Brexit would extend this period of uncertainty: some believe this to last at least two more years.

Leaving the EU bears many risks

Should we end up with tariffs and higher taxes afterwards this could negatively impact on SMEs. Smaller companies may find it difficult to continue to sell into the EU as their costs would be too high. This is not only bad for British start-ups but also for every UK-based translator.

For all these reasons, Iolante has signed an open letter published in the Times today in support of staying in the EU. The Times is publishing an article about Brexit in the same edition. You can also access the letter in full here.

Public opinion about leaving the EU is obviously divided. For many businesses, leaving will cause uncertainty at the very least and could spell disaster at worst.

Please read this article, if you are interested in how Brexit may affect the translation industry.

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Professionally qualified German translator into English and English into German, offering first class translation services for commercial, industrial, governmental and private clients.

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