Study indicates fewer businesses are considering expansion next 12 to 24
TORONTO, November 1 /CNW/ - The Small Business Research Board (SBRB)
reported today that taxes were the greatest concern of small business owners
and managers in Canada during the third quarter of 2007.
Of the respondents to the quarterly poll completed in conjunction with
Integrated Business Analysis (IBA) based here, 25% ranked taxes as their
Finding quality employees was the second most significant issue during
the third quarter, with 18% of the participants indicating that it was their
most problematic concern. General economic conditions and the cost of
materials tied for third in the rankings of issues the owners and managers
believed has the greatest impact on their businesses. Interest rate concerns
finished fifth among the poll of more than 150 businesses.
The SBRB recently established a Canadian Small Business Confidence Index
(SBCI). The initial index of 45 denotes opinions and projections about
business confidence. The strength of the economy, revenues and hiring looking
forward 12 months are the three key ingredients to determining the SBCI and
providing the basis for these quarterly and annual comparisons.
The universe of participants is developed from among small businesses
across Canada. The SBRB study is a voluntary survey conducted via direct
telephone contact. Had the SBRB established an SBCI as a result of the initial
results generated from the previous study completed during the second quarter,
the SBCI would have been set at 44.
"Small businesses in Canada are sensitive to the impact of taxes on their
operations and understand the necessity to maintain strict diligence when
managing such matters. In addition, the owners and managers must respond
quickly when contending with the enacting of new tax laws," said Gregg M.
Steinberg, President of IBA.
Fewer small businesses in Canada are considering expansion. During the
third quarter, 27% said they are planning to expand their businesses during
the next 12 to 24 months. That represented a decline from the 34% who said
they were planning business expansion when asked during a similar second
quarter 2007 survey.
The Small Business Research Board ascertains and reports the opinions of
small business owners and managers on a wide variety of topics related to
their own businesses as well as national and international issues that may
impact their operations. The SBRB conducts these studies for the benefit of
small business owners and managers. The SBRB also provides opportunities for
third parties to gain real time insight into the attitudes of small businesses
nationwide through the independently conducted research.
The SBRB, based in Northfield, Il., has conducted similar quarterly
studies in the U. S. since 2004. The latest information about the Small
Business Research Board can be found at www.biznus.net/iba.
Integrated Business Analysis, Inc. (IBA) along with affiliate companies
is the largest privately-held provider of management consulting services to
small and medium-size businesses in North America. The more than 1,800
professionals in North America offer a wide range of proven and innovative
methodologies to help businesses grow and prosper regardless of the economic
cycle. IBA either provides directly or through its affiliated companies a
comprehensive array of business advisory services, tax and estate planning
services or merger, acquisition and other financial advisory services in
Canada and the United States.
Small Business Research Board Canada Third Quarter 2007 Issues
Issues having greatest impact on business
2. Finding quality employees
T3. Economic conditions
T3. Cost of materials
5. Interest Rates
Plans for expanding business next 12 to 24 months
Of those planning expansion
1. 20% will expand at current locations
T-2. 19% will add new products
T-2. 19% will add locations 8% will enhance customer service
4. 17% will provide more services
5. 10% other
6. 8% will enhance customer service 6% will do so through
7. 6% will do so through acquisition
Plans for improving productivity
1. Improve staff training
2. Add staff
T-3. Add automation or technology
T-3. Improve existing automated systems
5. Implement or enhance employee incentive
Copyright 2007 Small Business Research Board (SBRB)
For more information about this poll, results of previous studies or
other matters related to the SBRB, please contact Raymond D. Minkus, (847)
For further information:
For further information: for Small Business Research Board Raymond D.
Minkus (847) 441-4192 firstname.lastname@example.org