![]() ![]() Increasing costs of goods and services easily topped the list of reasons for a negative outlook - 80% of CFOs cited this as their main reason. economy has fallen 20 percentage-points to just 49%. Since September 2021, the percentage of respondents who are optimistic about the U.S. Specifically, Grant Thornton’s 2022 Q1 CFO Survey reveals a continual decline in optimism as CFOs take steps to combat inflation. 50% expect to raise prices to mitigate inflationĬHICAGO - A new survey from Grant Thornton LLP, one of America’s largest audit, tax and advisory firms, provides an in-depth look at how chief financial officers (CFOs) are navigating an increasingly turbulent business climate. 80% cite the increased costs of goods and services as their reason for a negative outlook 74% say hybrid model is here to stay, while 61% want people back in office 60% plan to increase their budget for compensation to manage inflation The difficulty in filling open positions is particularly acute in the manufacturing, construction, and transportation sectors, NFIB said.īusiness investment is also weak, Dunkelberg said.- 49% have a positive economic outlook for the next six months - down from 57% last quarter employers added 209,000 jobs in June, with employment growth slowing from an average of 399,000 per month in 2022 to an average of 278,000 per month so far this year.Īnd the pace of wage growth has slowed, too.īut the unemployment rate, 3.6%, remains at a historically low level.įorty-two percent of owners reported job openings that were hard to fill, NFIB said. And that will signal a change in the view about the strength of the economy.”Ī government report last week showed the jobs market cooled. If those job openings disappear, then, of course, the index will go down. More small business owners are expecting things to be worse, not better or the same.ĭunkelberg said the index “could go lower if something happens to the job market. NFIB said small business owners have a “very negative outlook for the second half.”Ī “net negative 40%” expect better business conditions in the coming months.Īnd a “net negative 14%” expect real sales to be higher.īoth measurements were actually better than they were in May, but both are still in bad shape. Prices, he said, are in a “very dynamic situation.”Īnd we still have a long way to go before consumer prices fall to the level desired by the Federal Reserve in its quest to tame inflation. Usually, fewer than 10% of small businesses are cutting prices, he said. “Of course, we’re a lot lower than that right now.”ĭunkelberg said 44% are now raising prices, while 12% are cutting prices. “That’s when the percent raising their prices suddenly surged to like over 60%, raising selling prices,” he said. Inflation became a big concern a couple of years ago. Labor quality is a longtime problem for small business owners, Dunkelberg said. Small business owners are still raising prices at an inflationary level to try and pass on higher inventory, labor and energy costs, the NFIB said.īut those small business price increases have slowed. NFIB found inflation and labor quality are the top concerns for small business owners. She said over half of small business owners even worry that economic conditions could force them to close. They employ half our workforce, and they're the backbone of this economy.” “Two-thirds of all new jobs come out of our small business owners. “The way small business goes is the way the economy goes,” said Job Creators Network Foundation President Elaine Parker. Job Creators Network said over half of entrepreneurs cited rising prices as their top business concern, and roughly two-thirds of small employers have paused hiring and wage increases. Job Creators Network said its index that measures overall sentiment about the economy ticked up ever so slightly but remains down from two years ago. “Yeah, (the index) was up a point and half from last month, but these are very poor numbers,” he said.Īnother small business advocacy group, Job Creators Network, released new findings this week from its Small Business IQ Poll. ![]() The index is comprised of 10 components, related to inventory, jobs, credit conditions, sales expectations and more.ĭunkelberg said the index is only as high as it is because plans to increase employment and job openings remain high. ![]()
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |