SMEs in Spain: Challenges and Opportunities for Sustainable Growth

Small and medium-sized enterprises (SMEs) in Spain face a landscape full of challenges and opportunities, where financing, sustainability, and talent stand out as the three fundamental pillars for their survival and growth. In this context, the meeting "Challenges and Solutions for the Current Spanish SME," organized by EXPANSIÓN in collaboration with Banco Sabadell in La Coruña, highlighted the importance of these factors in the development of the Spanish business fabric. SMEs, which constitute 99.98% of the country's productive landscape and are responsible for 64.4% of employment, require clear investment to innovate, digitalize, and adapt to the demands of a constantly changing global market. Pablo Junceda, general director of Sabadell Gallego, emphasized that "regulations that seem never-ending, innovation, technology, sustainability, talent, and financing" are crucial challenges that SMEs must address. According to Junceda, support for these companies is essential to prevent a decline in banking competition, which could have serious repercussions for the country's economy. The relevance of SMEs in the Galician economy is indisputable. Antonio Fontenla, president of the Confederation of Entrepreneurs of La Coruña (CEC), underscored that companies in the region are "engines for the rest of the Galician economy," citing major names like Inditex and Hijos de Rivera as examples of success that emerged from this sector. Fontenla also emphasized that the transition to a greener economy will be the driving force behind the new industry, with the Coruña-Ferrol axis positioned as a future reference industrial hub, especially in the area of green fuels. The forum, structured in two round tables, addressed the urgent need for innovation, technology, and talent as engines of growth. Alberto Fernández, head of the Acelera Pyme Office for Digital Kit, emphasized that the implementation of technology must be framed within a coherent business strategy that guarantees adequate resources at all levels. Fernández argued that innovation and sustainability are key factors to ensure the continuity of businesses in a competitive environment. On the other hand, Venancio Salcines, president of the Higher University Studies Center of Galicia (Cesuga), pointed to innovation as a mechanism to detect and meet new market needs. Salcines stressed that sustainability, understood in a broad sense to include social, economic, and environmental impact, is the "only absolute truth" in the current business context. Ignoring this principle, in his words, means being left out of the market. A concrete example of how SMEs can adapt and compete is Gabadi, a company focused on the habitable part of boats. Begoña Paz, its Human Resources director, explained that their strategy consists of investing in innovation and machinery to differentiate themselves in an environment where price competition could be unfair. Participation in European projects related to green hydrogen and the use of artificial intelligence are just some of the initiatives that illustrate how digitalization can be an effective ally in this process. The second round table of the forum focused on the financial challenges faced by SMEs. Iñaki Pradera, director of the Business Segment at Banco Sabadell, highlighted the importance of a specialized approach to sustainability, internationalization, and the search for private financing or public aid. His perspective centers on the need for a deeper understanding of the specific needs of each SME to facilitate access to credit. Manuel López, external financial director at Finver, advised SMEs to work on their financing proposals in a structured manner, paying special attention to the presentation of their financial statements and the narrative accompanying their figures. According to López, risk analysts evaluate not only numbers but also clear visions and business plans that convey security. From the Official Credit Institute, Javier Soto explained its role as an intermediary in financing through banking entities, highlighting the funds available to invest in SMEs and thus contribute to their growth. Additionally, Alberto Vivero from Igape emphasized efforts to facilitate access to financing through interest rate subsidies and guarantees against banking requirements, which often represent a significant obstacle for SMEs. Finally, Antonio Couceiro, president of the Chamber of Commerce of La Coruña, urged the creation of an environment that favors the growth of SMEs, taking care of their needs in the economic, financial, and bureaucratic spheres to avoid discouraging entrepreneurship. The health of SMEs is key to the future of the Spanish economy, and their capacity for adaptation and resilience will be decisive in the coming years.