Small business operators seem consistently optimistic about their livelihood. A new study by Incfile highlights some of the moves business operators are making in response to inflation, economic instability, and high interest rates.
The new survey reveals that small business operators are confident in their businesses and the economy, with 65% reporting that their businesses are better off now than a year ago. Another 21% say business is the same, and 15% say it’s worse. Half (49%) of those surveyed believe the economy is good for small business, with 36% saying it’s average, and only 15% seeing it as poor.
Nevertheless, the economy remains a challenge and the top struggles mentioned by entrepreneurs include inflation (50%), supply chain disruptions (25%), retaining employees (14%), and difficulty maintaining finances (11%). A whopping 74% of business owners say they plan to raise product and service prices as a way to boost their growth and stability.
Looking ahead, more than half (52%) of small business operators anticipate an increase in new businesses in their community over the next year, with 33% expecting the number of businesses to stay the same, and 15% saying they anticipate the number of businesses to fall.
More than half (59%) of small businesses plan to increase their number of full-time employees, while 28% of businesses plan to maintain their current staff levels, and only 12% plan to downsize their workforce.
The Incfile survey on small business outlook polled 2,000 entrepreneurs who have started their businesses in the past two years. These businesses surveyed span 13 industries across the U.S.