Majority of Small Businesses in the US Are Expecting Significant Revenue Growth – Research Study

A Bank of America (NYSE: BAC) study reveals that the vast majority or almost 80% of U.S. based business owners are now anticipating revenue growth in the coming year.

Bank of America noted in an extensive update, covering all key demographics in the United States, that the majority of women as well as minority business owners surveyed plan to focus on expanding their businesses over the next 12 months.

Nearly four out of five (78%) small and mid-sized business owners anticipate revenue growth in the next 12 months.

This level of confidence spans most business owners with a significant number now anticipating or expecting steady revenue growth in the year ahead.

This is according to the 2024 Bank of America Women & Minority Business Owner Spotlight, which has now been released in partnership with Bank of America Institute.

The survey of more than 2,000 small and mid-size business owners across the country explores sentiments about “business outlook, access to capital,” how they manage their employees, and how they interact with their community.

This survey reportedly samples a general population of small and mid-sized business owners and includes “specific insights” into the perspectives of US entrepreneurs.

Raul Anaya, president and co-head of Business Banking for Bank of America, said that these businesses are the “heart” of the U.S. economy and business owners are expecting to increase their revenue in the coming year, despite continued concerns around inflation.

Anaya added that they also plan to hire and invest in employee education, such as training and mentoring programs, as they “prioritize” their labor force and explore “opportunities for growth.”

Business owners across all surveyed cohorts are now said to be “cautiously optimistic” that economies will improve in the coming year.

Nationwide, 66% believe the local economy will “improve, 60% believe the national economy will improve, and 57% believe the global economy will improve.”

But the available data indicates that smaller employers are “less optimistic.”

Some 78% of mid-sized business owners now intend to further expand and 61% plan to hire over the next year, while just 50% of small business owners aim to expand and 39% plan to hire.

Sharon Miller, president and co-head of Business Banking for Bank of America said that in the year ahead, they are looking to invest in their workers and utilize tech to enhance their hiring and “improve client experiences.”

This divergence across business size aligns with Bank of America Institute’s September Small Business Checkpoint, which found “lower confidence among smaller businesses compared to their larger counterparts.”

But consistent with the survey finding that business owners are “continuing to expand their businesses, the Small Business Checkpoint showed continued payroll growth and elevated hiring demand compared to 2019.”

Beyond hiring / HR-related concerns, business owners across the nation have reportedly identified inflation and the “political environment” as key or pressing issues.

Survey and Research Methodology

Ipsos conducted the Women & Minority Business Owner Spotlight survey online between August 7 and August 21, 2024, using a pre-recruited online sample of small and mid-sized business owners.

Ipsos contacted a sample of 752 small business owners in the US with annual revenue between $100,000 and $4,999,999 and employing between two and 99 employees.

Ipsos also interviewed a sample of 323 mid-sized business owners in the US with annual revenue “between $5,000,000 and $49,999,999” and employing “between two and 499 employees.”

The final results for the national segments, the demographic segments and combined samples of the small and mid-sized business owners were “weighted to national benchmark standards for size, revenue and region.”



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