More than half of Los Angeles-area small business owners anticipate higher revenues next year, and more than a quarter of them plan to hire more employees, but most have little confidence that local, national and international economic conditions will improve in the next 12 months, according to a survey released Thursday.
The finding came out of the Bank of America Fall 2012 Small Business Owner Report, a semi-annual study of the attitudes of small business owners across the country. It included an oversampling of small business owners across the Los Angeles market.
The majority of Los Angeles small business owners are planning on sustaining or growing their business over the next 12 months, the survey found. Specifically, 27 percent of them plan on hiring more employees, while 59 percent expect their staffing needs will remain consistent, according to a Bank of America statement.
"In addition, more than half (54 percent) of the Los Angeles small business owners surveyed anticipate that revenue will increase in 2013, while only 9 percent expect revenue to decline," the statement said.
"However, this optimism is tempered by their views on the economy, with only 34 percent of Los Angeles small business owners confident that their local economy will improve over the next 12 months. Respondents were even less confident in the national (30 percent) and global economies (19 percent) improving in that same period."
The study showed the local economy has the greatest impact on Los Angeles small business owners, with 62 percent saying the majority of their customers are local, compared to 29 percent who indicated their customers come mainly from outside the local community.
Winter holiday retail activity seems to be a minor factor for local businesses. Black Friday, the day after Thanksgiving, has little impact on the bottom line for L.A.-area small business owners, according to the survey, which found that they see little to no benefit from Black Friday or Cyber Monday.
- City News Service