IB partnered with Chamberlain Research Consultants (CRC) to poll a pre-selected group of 100 companies. CRC structures the questionnaire, summarizes the data, and created a website so participating company presidents can receive “live” data.
This month, only four optimists responded: “We are currently getting new business – new clients looking for an edge in an increasingly competitive environment,” said one. Two others reported positive trending, too. “Business levels compared to last year at this time, continue to look better,” said the final participant. The more prevalent tone mirrored this remark: “The Federal Government needs to take small business seriously! We need funding now!!!”
IB Asks:
Commentary from Our Participants:
Given the increasing number of requests to be able to give anonymous answers, we’ve extended that grace to all participants this month. Here are the comments received by our third-party surveyor:
“Government spending needs to be controlled! It’s amazing that most of the career politicians (in both parties) have little to no business acumen, nor have they ever run a business, yet we trust them with billions of our tax dollars.”
“Restraint in federal, state, county, and city spending and taxation will be far more important than in a typical year.”
“We’re still in business! Kind of quiet — we should be busier with fall home improvement projects, but we’re not. Worried about another slow winter.”
“Waiting for banks and appraisers to finish financing for clients. Takes too long and we’re in limbo waiting to hear results. If it works out, we will hit our fourth quarter (revised) budget — but not if there are more problems.”
“It is difficult to see light at the end of this tunnel at this time. What is it going to take to turn things around? Lending is very tight, markets are depressed, consumers are cautious. I don’t believe more government ‘stimulus’ money is the answer. Smart tax policies that support business spending and investment will help; I’m not sure it will be enough.”
“It continues to be a struggle and probably will remain so.”
“Due to the proposed heavier tax burdens anticipated for employers, there is little incentive to hire additional staff, and therefore, spending in the aggregate is going to stay relatively flat for some time.”
“There is much more uncertainty than only a couple of months ago in the local economy. There is uncertainty in the political climate, uncertainty on the part of consumers and on the part of other businesses. We seem to be in a sideways period right now.”
“The expiration of the real estate tax credit has created a vacuum in demand that seems unlikely to refill until next spring. The government’s policies, particularly at the national level, have done a great disservice and contributed to consumer uncertainty. The loss of faith in housing overall is having a real negative effect, and we don’t see anything being done at any level to address it.”
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