Self-employed owners of SMEs are generally confident about the up coming year, according to a new report.According to research carried out by Kensington Mortgages, nearly a third (32 per cent) of self-employed owners were "very confident" about their company's progress in the next six months.Equally, nearly half (47 per cent) said they expected their SME's turnover to increase in the coming year.Nearly a quarter (26 per cent) of small business owners are thinking about investing in their company in the near future. Of these people, half (48 per cent) plan to fund this further investment with personal finances and about a fifth (19 per cent) will use a business loan.Despite this confidence, SMEs are not thinking about expanding their workforce in the near future. Only six per cent said that they were definitely thinking about hiring in the next twelve months. In contrast, 53 per cent ruled out creating any new jobs in the coming yearThe director of marketing at Kensington Mortgages, Ian Giles, described the current economic situation in the UK as "benign" and said that this was why many SME owners were confident about the future. However, he warned that "with uncertainty hanging over the future of the base rate, business owners are understandably cautious when it comes to stretching their finances".Earlier this month, the Confederation of British Industry (CBI) reported that SME manufacturers had recovered from a dip in output towards the end of 2006, but were still cautious about the future.© Adfero Ltd