Most Small Businesses Are Still Recovering from the Recession
If your small business is still feeling the effects of 2008’s Great Recession, you’re not alone. According to a recent nationwide survey, only 1 in 5 (21 percent) small business owners (SBOs) state they have completely recovered from the recession. The truth is, most small businesses are still recovering from the recession, although in Los Angeles (28 percent) and Miami (25 percent), SBOs are most likely to say their business has completely recovered, compared with New York (19 percent) and Boston (18 percent).
Despite these lingering impacts from the recession, SBOs’ confidence about upcoming growth of their businesses is high: 63 percent believe revenue will increase in the next 12 months (versus 62 percent last fall), and 66 percent plan to grow their business in the next five years.
Have you wondered what other small businesses do to attract and retain their employees? 94 percent of SBOs say their companies have some type of employee appreciation program. In addition to offering flexible hours (56 percent), closing the office on major holidays (48 percent), giving paid vacation time (46 percent), and providing health care (37 percent), many small businesses have dinners and outings (46 percent), spot bonuses (44 percent), employee recognition programs (35 percent), extra time off (34 percent), and extra raises and promotions (25 percent).
In regard to future staffing, 46 percent plan to hire additional employees over the next year, down from 52 percent the same time last year, and 41 percent are struggling to find qualified candidates. SBOs in some metropolitan areas, including Dallas (57 percent) and Miami (53 percent) said they are more likely to hire additional employees over the next 12 months, compared to New York (44 percent) and San Francisco (40 percent).
As for their view on government policies, small business owners are most concerned about the negative impact of required health care plans for employees (39 percent), the newly mandated sick leave for employees (29 percent), and the increased minimum wage (26 percent). However, an additional 23 percent believe that the required health care plans for employees will have a positive negative impact on their businesses.
The report, produced by Braun on behalf of Bank of America, is based on a semi-annual survey of 1,300 small business owners across the country, and there’s more interesting information we don’t have room to mention, such as the number of hours SBOs work and whether they’ve borrowed money and foregone salaries to make ends meet. Click here for a thorough infographic of the survey’s results.
Keep Amtec in mind as you plan our next candidate search. Our expert recruiters can help you find qualified professionals to build your high-performing team. Click here to contact us, or call us at (714) 993-1900.