National small business survey shows angst
America’s small businesses are extremely anxious about the economy and fear a recession on the horizon. The past year has not been a good one for the small-business economy, and projections for the next 12 months are even less optimistic. Those are the summary points of the National Small Business Association’s 2008 Survey of Small and Mid-Sized Business.
"Our survey shows plain and clear how the economic slowdown is affecting small business. When asked last year about their economic outlook, a majority of small-business owners responded positively," stated NSBA president Todd McCracken. "This year, a whopping 71 percent have a negative outlook on the economy – clearly small business is feeling the pinch."
Nearly half of all business owners (45 percent) expect a recession in the next year, while just 9 percent say they anticipate economic expansion. Fifty percent (50 percent) cite "economic uncertainty" as one of the most significant challenges they face to the growth and survival of their business, with the cost of health insurance (35 percent) and lack of available capital (32 percent) rounding out the top three concerns.
"Small businesses are buckling down, with nearly a quarter reporting no growth strategies planned for the coming year," said NSBA chair Marilyn Landis. "Sales and profits are down, and fewer jobs are being created in 2008 than at any period since 1993 when the survey began."
More than half (55 percent) of business owners surveyed said they have faced difficulty securing credit over the last year. Credit cards continue to be the largest primary source of financing for small businesses, yet 57 percent report that their credit card terms are worsening.
Spikes in energy costs have negatively impacted 77 percent of small-business owners. In response to rising costs, 37 percent of businesses have increased their prices, 33 percent have reduced their business travel, 11 percent have cut their production schedule, and 10 percent have reduced their workforce. Eighteen percent of the surveyed companies have taken steps to invest in more energy efficient equipment or upgrades.
Public Opinion Strategies, on behalf of NSBA, conducted the national Internet survey of 500 small and mid-sized business owners. To view the complete survey, visit http://www.nsba.biz/docs/2008bizsurvey.pdf.
DDN vice president to speak at European conference
Michael Bartholomew, vice president of sales and marketing for DDN (Drug Distribution Network) Pharmaceutical Logistics, a Germantown-based pharmaceutical distributor, has accepted an invitation to speak at LogiPharma Europe 2008, the seventh annual European Pharmaceutical Supply Chain Conference.
Bartholomew will speak during the April 24 session of the conference, which is being held in Geneva, Switzerland. His comments will examine best practices in supply chain management. DDN is a subsidiary of F. Dohmen Co.
