According to a Morning Consult survey sponsored by Balboa Capital, a division of Ameris Bank, most of business decision-makers of U.S. small to midsize companies expect their sales to stay the same or grow in the fourth quarter of this year.
37% of those surveyed expected high or moderate growth in sales and 30% expected no change in sales through the end of the year. About 24% expected a decline in sales and 8% are undecided.
Only 41% of business decision-makers expected the economy to remain flat or expand in the next three months, whereas 49% feel the U.S. will see economic contraction or recession and 10% were undecided.
“The Morning Consult survey results align to our own market feedback of small business owner sentiment,” Phil Silva, president of Balboa Capital, said. “We see business owner confidence holding strong, although there are still concerns as we enter the fourth quarter. Inflation and rising costs, employee retention, rising interest rates and supply shortages remain top challenges facing businesses.”
The sales expectations appear to be sustaining company spending. “In Balboa’s study, only 23% of business owners said they would decrease spending, while 24% plan to increase spending and 53% will maintain their current level of spending,” Silva said. “We see this firsthand as we work with businesses to obtain expeditious financing for equipment or other critical business needs they have.”
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