SMBs Find Financial Aid In Uncertain Economy
Written by Ken Gaebler
SMB owners have a bleak forecast for the upcoming year, with specific concerns over economic stability and consumer demand. But companies such as FedEx are working on initiatives to help drive consumers to local businesses.
The recent Q3 Vistage CEO Confidence Index showed small and medium-sized business anticipate slowed economic growth and persistent weak economic conditions for the upcoming year. The index fell from 92.9 in the second quarter to 83.5 in the third quarter - the lowest level in the last two years.
The largest declines in confidence were reported in evaluations of the economy and future plans for hiring new employees. In addition, SMB owners expect healthcare costs to increase, regulatory burdens to tighten, revenue and profits to shrink and demand for their products or services to decrease. The report said the two most significant business issues SMB owners are currently facing are economic uncertainty and financial and staffing issues.
In an effort to improve the confidence level of SMB owners and improve their access to capital and growth, FedEx recently invested $1 million into the Small Business Saturday 2011. On November 26, the company will give away 30,000 free Shop-Small American Express gift cards worth $25, which are expected to drive thousands of consumers to local businesses and merchants.
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