There is little spring optimism in the hearts of more than half of America’s small business owners, who see conditions for their businesses getting worse in the next six months, according to Discover Small Business Watch, Discover’s monthly check on the pulse of business. After some upward trends for most of last summer and into the fall, Discover found that optimism is waning. “We’ve seen bigger month to month drops, but there is clearly a pattern here: Small business owners don’t like what they’re seeing, both at home and in the larger economy, and they’re responding by pulling back, rather than just holding the line,” said Ryan Scully, director of Discover’s Business Credit Card that commissions the monthly survey. “Tax season could be having an effect on the overall mood, especially because they’re still not seeing any relief from the government.”
The results were marked by a surge in the number of small business owners who say economic conditions for their own businesses are deteriorating: 53 percent say the climate will get worse in the next six months, compared to only 37 percent who answered that way in February. Of the remaining respondents, 20 percent said things are getting better, 20 percent said things are the same, and six percent are unsure. When asked about their intentions to invest in their businesses, 52 percent said they would decrease spending, up from 43 percent in February, while 27 percent said they would make no changes, and 18 percent said they plan to increase spending.
For more information:
Discover Financial Services
P.O. Box 30943
Salt Lake City, UT 84130-0943
Toll Free: 800-347-7449
Website: www.discovercard.com/business/watch/