It is true that the credit crunch evaporated a lot of money, and cost a lot of jobs. But it’s not all bad: the crisis has proven to be a valuable breeding ground for innovation and entrepreneurship.

“In a downturn there is more creativity and innovation, more than you get during boom periods,” says Carol Bagnald, regional director at the UK-based HSBC bank.

When the economy is booming and everybody is making a lot of money, there is not much need for creativity. The money is pouring in anyway. Now that times are rough, managers and executives have found that, besides streamlining their organization, they have to come up with new business models, new partnerships and new products and services to keep afloat.

Perhaps the economically challenging times are rekindling some spirit and competitiveness because now more than ever entrepreneurial minds are making themselves heard and seen. “Confidence is improving,” according to Carol Bagnald, who points out that it is the perfect time for Small and Medium sized Enterprises (SMEs) to reorganize and prepare for the end of the recession. When the economy starts to pick up again, some of the most driven entrepreneurs will be able to ride that wave and really take off.