The report found that two thirds of entrepreneurs (67%) expect to increase the number of people they employ during 2010, with only 8% expecting to make job cuts.
But Investec warns the Government will need to provide an attractive environment for entrepreneurs, so that they feel encouraged to grow their businesses.
At the moment, only 3% say that the overall regulatory and tax environment in the UK make it very attractive to launch a new business here. This helps explain why at the beginning of this year 10% of entrepreneurs said that they intend to shift their UK businesses to other countries with more favourable business environments, and a further 17% are considering doing this.
Investec's research reveals that, at the beginning of 2010, 14% of successful entrepreneurs expected to increase their workforce by over 20% during the course of the year. A further 14% said that their workforce would increase by between 16% and 20%. In contrast to this, only 1% of those interviewed said that it would fall by 10% or more.
Philip Shaw, chief economist at Investec Private Bank, said: "Entrepreneurs look for an environment that provides them with opportunity, reward and a flexible environment to operate in. They also look for stability and support, be that from the banks or the Government, and it is in the best interests of the economy to provide this for them."
