September 2014 Small Business Research Board State of Small Business Report Highlights Deepening Divide Between Issues that Affect Small and Big Businesses

CHICAGO, Oct. 8, 2014 /PRNewswire/ -- The State of Small Business Report for September 2014 was released today by Tonia Etoh, Executive Director of the Small Business Research Board (SBRB). "The number one concern for small businesses is access to capital. Unlike enterprise level companies, which have amassed a large surplus of funds in the past six years, small business owners were forced to go through their reserves or assume debt in order to survive the Great Recession. When seeking to grow through hiring, new equipment/technology or expansion, capital options are limited and can potentially derail a return to a healthy economy on the local level."

The lowest rated challenge was the proposed minimum wage increase with only 9.57% citing it as a concern, "reflecting the fact that the majority of small businesses create good jobs with good pay and benefits. A minimum wage increase would not affect their bottom line in the same manner as big businesses such as fast food chains and discount retailers.  In a similar manner, the Affordable Care Act was rated only slightly higher than the global economy as being a challenge. More pressing was burdensome government regulations and unfair taxation policies, which allow big businesses to take advantage of loopholes not available to most small business owners."

Economic recovery is also associated with geographic location. Small businesses in the South and the West and major urban areas have the most growth, while areas experiencing contraction are in the East and North. Especially hard hit are rural areas and small towns. 

WHAT RESPONDENTS ARE SAYING…

• "Companies are still in a financial crunch and still trying to recover monies laid out to survive the recession."
• "Small businesses have limited capital and limited access to capital."
• "Access to capital has almost completely dried up."
• "Unable to finance growth."
• "Distrust of government policies, many believe the policies favor large, multi-national corporations."
• "It gets harder and harder to make a profit; there is too much regulation."
• "No one trusts our government."

The SBRB State of Small Business Report is sponsored by GPS and based on data compiled from a panel of 100 analysts and consultants who work with thousands of small business owners, nationwide. Client industries represented include Accommodation and Food Service; Administrative and Support; Agriculture, Forestry, Fishing and Hunting; Arts, Entertainment, and Recreation; Construction; Educational Services; Finance; Health Care and Social Assistance; Information Technology; Management of Companies and Enterprises; Manufacturing; Professional; Real Estate, Rental and Leasing; Retail Trade; Scientific and Technical Services; Services; Transportation and Warehousing; Waste Management and Remediation; and Wholesale Trade.

Contact:

Carrie Green
800-531-7100
Email
http://www.SBRB.net 

SOURCE GPS