(From TD Bank)
About half of small businesses expect their financial health to improve in 2013 and are confident that sales will increase over 2012, according to a new survey released by TD Bank. The survey also found that nearly one-third of small business respondents plan to hire at least one employee in the coming year.
The survey polled more than 500 small business owners across the bank’s Maine to Florida footprint for their plans for 2013.
Forty-nine percent say they are somewhat or very confident that their small business will be in better financial shape than it was in 2012, with 25% still unsure and 25% are not confident about their financial health.47% are somewhat or very confident that they’ll exceed their sales performance from 2012, 31% are unsure, and 22% think sales will worsen. 59% intend to keep staffing levels the same, but 32% plan to hire at least one new employee, and only 9% plan to downsize their team in the year ahead.
“Small business owners should develop a sound strategy heading into 2013 that focuses on creative ways to boost sales while also monitoring expenses,” says Jay DesMarteau, head of Small Business and Government Banking Distributions, TD Bank. “This strategy starts with small business owners talking with their advisors and partners, including their bank, about their business plans for the upcoming year.”
TD Bank’s survey also asked small business owners how often they review and update their business plan.
According to the results, the frequency in which small business owners review and update their business plan varies. Of those polled, 36% review and update it once a year, 30% every quarter, and 20% each month. The remaining 13% only do so when applying for new financing.
Given the challenges of ’s economy, DesMarteau says small business owners should review their business plan at least every six months and make adjustments whenever significant business decisions are made.
“We’re encouraging small businesses to meet with us in early 2013 to review and update their plans and discuss their banking needs for the year,” says DesMarteau. “We respect small business owners. By building a personalized relationship with them and having a better understanding of their business, we’ll be able to fit them with the products and services they need so they can manage their money and focus on growth and making their wish for more sales come true.”
