Community Voices: Small-business owners: Your voice matters

Gauging the health of the local, state and national economy can be a daunting task when parsing through various studies and surveys that comprise a database used by economists to evaluate and occasionally argue about how the economy is faring.

The significance of identifying economic strengths and weaknesses is that the information is used by elected and appointed representatives, as well as government agencies to set policies and provide assistance when needed. The information is also used by small businesses to help plan their routes to success.

Among the most critical surveys is the annual Small Business Credit Survey, which is conducted by the 12 districts in the Federal Reserve system. The Fed is the U.S. central banking system. As many people know, it is the most powerful economic institution in the U.S. with responsibilities that include setting interest rates, regulating financial markets, and managing the money supply.

The annual survey provides a necessary "real-world perspective" that is often lacking in other economic studies. It provides main street small businesses the opportunity to provide firsthand insight.

This year's survey is open and the Small Business Development Center at CSU Bakersfield is a local partner in this effort. The deadline for small business owners to participate is Nov. 13. The goal is to achieve a meaningful sampling of businesses throughout the U.S. Results can vary between Federal Reserve districts because of differing regional economic opportunities and challenges.

That is why Kern County business owners are urged to participate in the annual confidential survey. They do not need to provide personal information. Resulting data will be used to direct programs and services based on local needs, and help identify opportunities and shortcomings in the small business funding ecosystem. No doubt our region, with an economy primarily based on oil and agriculture, has unique challenges and opportunities. They must be understood, appreciated and addressed beyond the borders of Kern County.

The survey takes only about 12 minutes to complete online and is available in English and Spanish. Go to https://bit.ly/2026FedReserveSurvey and click to answer the brief questions.

Last year's survey report published this spring was based on small-business owners' responses to questions posed in 2025. Business owners reported the top operational challenges in 2025 were reaching customers and growing sales, followed by hiring and keeping qualified workers. Financial challenges were rising costs, paying operating expenses, and uneven cash flow, with 42% of owners also citing tariff-related costs.

About the survey

The annual Small Business Credit Survey is administered nationally by the Federal Reserve system. It was born out of the Great Recession of 2008 and the accompanying financial crisis that resulted in a significant reduction in credit availability for small business borrowers.

Since 2016, the survey has been conducted through a collaboration of the 12 Federal Reserve banks, in partnership with nonprofits, business and industry associations, and organizations like the SBDC at CSU Bakersfield. As of 2020, the project has been spearheaded by the Federal Reserve Bank of Cleveland.

"The survey captures the perspectives of business owners operating firms with fewer than 500 employees," explained the Cleveland Federal Reserve in a news release, which added that survey results are weighted by Census Bureau data.

The survey's questionnaire covers these key areas:

Firm performance and challenges. These include revenue, number of employees, outlook for the business, and financial challenges the business is experiencing.

Financing needs and borrower experiences. These include sources of financing, credit products utilized, and experiences applying for and obtaining credit.

Why the survey is important

The Cleveland Federal Reserve Bank explained the survey enables the story to be told of small businesses' credit experience from local, regional and national standpoints.

By participating, small-business owners contribute to the understanding of Federal Reserve, government agencies, service providers and policy makers. Ultimately, the survey benefits individual business owners.

How to participate

Small business owners know the challenges and opportunities of what they face in this volatile economy. They also know what they need to survive and prosper. It is important to take just 12 minutes to respond to the anonymous Federal Reserve survey by going to https://bit.ly/2026FedReserveSurvey and click to begin answering questions. Respondents may skip a question they do not wish to answer.

Distributed by Newsbank, inc.