Small Business Market Continues To Be Hot

The small business market has received significant attention from numerous companies of late as they try to expand their reach from the mature big corporate market to the expanding small business community. Everyone from credit card companies to airlines to telecommunications companies are trying to establish themselves as champions of small business. And it is no wonder - America's small businesses generated over 58,000 new jobs in May according to ADP because of their growth and the trend is expected to continue.

A new study by the Small Business Research Board (SBRB) in Canada predicts another 12 months of small business growth for Canadian SMBs. 85% of those surveyed believe the economy will remain the same or improve while 94% of the respondents predict their revenue will remain the same or increase during this period. Here are some of the major findings of the study:

How SMBs plan on growing their companies:
- 52% - grow without adding staff by improving training
- 36% - add new employees
- 5% - decrease employees
- 6% - undecided

Top 5 issues facing Canadians SMBs:
1) Taxes
2) Economic conditions
3) Finding quality employees
4) Cost of materials
5) Interest rates

Where SMBs are planning to expand:
- 22% - add more services
- 20% - expand at current locations
- 19% - enhance customer service
- 18% - add new products
- 14% - add new locations

Health Care Costs Continues To Top SMB Concern List

According to the latest Small Business Research Board (SBRB) study, health care costs continue to top the list of concerns for small business owners.

"It is interesting to note that purely domestic issues such as concerns about health care and taxes have overtaken worries about energy and fuel as the leading issues faced by small businesses," said study co-sponsor Gregg Steinberg, President of International Profit Associates. "Energy and fuel availability and costs have leveled considerably reducing the uncertainties and gyrating costs that caused business owners and managers so much grief. Meanwhile, these same businesses are being challenged by much more time sensitive beginning of the year issues such as renewal of health care insurance coverage with higher premium amounts and the planning, preparation and filing of corporate and personal tax returns."

More than 550 small business owners and senior managers participated in this SBRB poll.