More Small Business Owners See Economy Getting Better

Vacation Poll: Can Small Business Owners Afford Time Off?

Better Economic Outlook May Be Inspiring More Vacation Plans

“By their responses, small business owners are seeing improvement in the economy in spite of bad news.”

The percentage of small business owners rating the current economy as good or excellent was 12 percent in May, compared to 13 percent in April. The April and May ratings on the current state of the economy are the highest since June 2008. Thirty-two percent rate the economy as fair in May, while 56 percent still think it’s poor.

• Small businesses reporting cash flow issues held steady at 45 percent, the lowest number in seven months. Forty-eight percent reported no cash flow issues, and 7 percent were unsure.


• 28 percent of small business owners say economic conditions for their businesses are getting better, down from 30 percent in April; 44 percent said conditions are getting worse in May, down from 48 percent in April; and 24 percent said things are staying the same, up from 19 percent in April.


• 25 percent of small business owners indicated they were increasing business spending in May, up from 23 percent in April, while 46 percent said they were reducing spending this month, compared with 43 percent in April, and 31 percent said they are spending the same, up from 25 percent in May.

• Non-self-employed people aren’t as affected by the economy when it comes to the recession: 44 percent of them reported they will delay or cancel a vacation this year, compared with small business owners at 51 percent.


• For small business owners who are postponing or canceling vacations due to the economy, 78 percent indicated they are doing so to save money or pay business-related bills.


• Small business owners continue to work longer hours per day than they did pre-recession. This year, 38 percent reported working 10 or more hours per day, compared to employees, which is statistically steady with 2009, when 39 percent reported doing so. These numbers are significantly higher than in 2008, when only 30 percent reported doing so. Only 19 percent of the general population in 2010 reported working ten or more hours per day.


• Small business owners are still working through the holidays far more than most people. This year, 55 percent say they will work through most, if not all, holidays, slightly down from 57 percent in 2009, but higher than the 47 percent that reported doing so in 2008. The number still outpaces non-self-employed people significantly, with only 27 percent of them saying this year that they will work through most or all holidays.