When markets wobble, the instinct is often to delay big decisions.
Yet across Europe and the U.S., many SMEs are choosing a different path: they continue to invest in equipment, technology, and innovation. This decision is less about confidence in the short term and more about ensuring survival in the long run.
Recent research shared during an Asset Finance Connect webcast, where our CFO Sophie Féret joined the discussion, shows how strong that intent remains in Europe.
In France, 83% of SMEs plan to invest in new equipment, driven by the need to futureproof operations.
In Spain, 86% remain committed, a figure that underlines their persistence in the face of political and economic hurdles.
In Germany, 77% of businesses still plan to modernise, despite fewer subsidies.
The message is consistent: investment plans stay strong despite headwinds.
Why leasing is becoming central
SMEs need ways to finance equipment without jeopardising cash flow. That’s where leasing increasingly comes in. The same AFC survey revealed leasing as the preferred route in all three countries, with 43% of French SMEs and 46% of German SMEs opting for it. In Spain, leasing sits alongside cash use at 39%, but strikingly, 60% of Spanish SMEs had either never used or never heard of leasing.
This knowledge gap matters. Too many businesses still rely on cash reserves or credit cards: fast and familiar, but often less efficient. Better financial education could help SMEs unlock the benefits of leasing: flexibility, predictability, and alignment with the rapid pace of technological change.
Global signals: cautious, but committed
The pattern is visible across the Atlantic as well. In the U.S., forecasts for equipment and software investment in 2025 were revised down from 4.7% growth to 2.8% (ELFA, 2025). Borrowing through leases and loans has dipped slightly year-on-year, yet approval rates remain high. In other words, demand has softened, but the commitment to invest hasn’t disappeared. Businesses still need access to equipment, they’re simply weighing their options more carefully.
The sustainability dimension
Sustainability adds another layer. In France, 58% of SMEs rate green finance as highly important, with interest growing in contracts that extend equipment life through reuse or upgrades. The principle is widely accepted, but practice is uneven. Too many SMEs remain unsure how to connect sustainability ambitions with financing decisions. Without clear structures and incentives, momentum risks stalling.
What this means for SMEs
The global picture tells us three things:
- SMEs remain determined to invest, even when conditions are uncertain.
- Leasing is gaining traction, but a lack of financial literacy still holds some businesses back.
- Sustainability is valued, yet it needs to move from aspiration to action.
At Black Winch, we see this as both a challenge and an opportunity. Traditional financing or upfront sales alone won’t equip SMEs for the future. What’s needed are flexible models: leasing, as-a-service, pay-per-use, SaaS and circular financing - that adapt to business cycles, preserve cash, and build resilience.
Investing is about ensuring SMEs have the freedom to compete, innovate, and grow, even when the headwinds don’t ease.
Learn more about the Asset Finance Connect’s European survey and Sophie’s insights here.
