Balboa Capital Survey: Small Business Sentiment Strong in Q3 2015
Tuesday, December 8, 2015
A survey conducted by Balboa Capital has revealed that small-business owners had an encouraging third quarter and are feeling more optimistic about the U.S. economy. The survey was sent to a sample of small-business owners nationwide in October 2015. The results are featured in the Balboa Capital Index, a periodic survey that measures the economic perceptions, revenue expectations and investment plans of small-business owners.
"The results of our third-quarter survey are consistent with what we reported during the middle of 2015," said Jake Dacillo, marketing director, Balboa Capital. "Close to half of small business owners we surveyed posted solid revenues in Q3 and think the economy will finish the year on a positive note. The growing optimism is leading to increased investment and expansion initiatives among 73 percent of small-business owners who responded to our Q3 survey, which is only a 4-percent decrease from our Q2 survey results. This is positive news for manufacturers, distributors and equipment dealers, not to mention our nation's economy."
Key findings of Balboa Capital's third-quarter 2015 survey:
"Small-business owners we work with are taking the steps necessary to stay competitive during the final weeks of the year and well into 2016," Dacillo said. "They are acquiring capital to invest in equipment, vehicles and technology, among others, to help fuel growth, increase efficiency and expand market share."
- Forty-seven percent of small-business owners reported moderate to significant revenue increases in Q3.
- Forty-eight percent of small-business owners think the economy will end the year with higher growth — the same result from Q2.
- Seventy-three percent of small-business owners want to expand their operations and increase their market share during the final weeks of 2015 — a decrease of four points (77 percent) from Q2.
- Small-business owners are turning to alternative lenders for financing solutions that offer highly flexible terms and greater convenience. One in six small-business owners chose an alternative lender in Q3 instead of a conventional bank.
- Among small-business owners who needed capital during Q3, the most popular options included credit lines (18 percent), equipment leasing (15 percent) and small-business loans (10 percent).