Small Business Owner Parents Are More Optimistic about Their Children’s Future Than All Parents
More than 40% of Small Business Owners Say Their Business is the Equivalent of Their Own Personal Pension
Future Comes Into Focus for 2018 Planning with Business Continuation and Family Involvement on Tap
Rises to the Top, Yoda Does, for Small Business Owners
Small Business |
All Survey |
|||||
When my own child(ren) become adults, they will have a better standard of living than I currently do. | 77% | 67% | ||||
In general, when children in |
65% | 54% | ||||
“What this tells me is that being in the driver’s seat, as many small business owners are, is empowering and puts them in a brighter place when thinking about what lies ahead for the future for children – and especially, for their own children,” said
For the survey, a sample of 1,059 small business owners were interviewed, including a subset of 586 small business owner parents who have children under the age of 18 living in their home. The survey was conducted in
Business = Small Business Owner’s Personal Pension
“Small business owners are counting on their business to provide for them in retirement. For many entrepreneurs, their business will serve as their own personal pension and what they rely on to provide retirement income, with 42 percent reporting that their business is their retirement plan. Small business owners know how important it is to protect their retirement as well; 66 percent say they need to do more to ensure they have adequate income from their business in retirement and 54 percent have a backup plan if they are unable to sell their business or if the proceeds are not sufficient for retirement,” added Madgett.
Taking steps to ensure their finances are in order will be important especially to the 51 percent who report that they plan to retire at the age of 65.
2018 Focus is on the Future; Short Term Growth Plans Have Slowed Since 2017
Financial expectations for small businesses in 2018 remain high with 61 percent of small business owners optimistic. This mirrors the sentiment recorded in last year’s
More than 70 percent of small business owners state that technology will have a positive impact on their business in 2018. Forty-six percent feel that tax policy is a positive for their business. Here is how other aspects ranked in terms of a positive impact on their business in 2018:
Will have a positive impact on the business | Small Business Owners | ||
(n=1,059) | |||
Technology | 71% | ||
Digital/Social marketing | 64% | ||
Local economy | 60% | ||
Local competition | 49% | ||
Tax policy | 46% | ||
The employment market/talent pool | 46% | ||
The new political landscape | 44% | ||
Interest rates | 41% | ||
Global competition | 39% | ||
Health insurance | 38% | ||
Interestingly, there are some differences since last year in terms of what small business owners will focus on when it comes to planning. With an eye toward the future, a large percentage, 62 percent, of small business owners plan to address business continuation planning in 2018 and a similar amount, 66 percent, of small business owner parents plan to involve their children in their business this year. But, short term growth plans have slowed somewhat since last year with fewer planning to seek additional capital (45% vs. 55%), hire more employees (42% vs. 52%), and grow their companies (57% vs. 62%).
Plans in the coming year |
Small Business |
Small Business |
||||
Plan to network more in-person/online with other business owners and/or professionals | 65% in-person
64% online |
64% | ||||
Plan to incorporate mobile technology in my business | 61% | 66% | ||||
Plan to grow my company- e.g., open another location, increase revenues, expand capabilities, etc. | 57% | 62% | ||||
Plan to seek additional capital | 45% | 55% | ||||
Plan to hire more employees | 42% | 52% | ||||
Plan to improve my employee benefits package | 37% | 49% | ||||
Plan to take out a loan | 32% | 46% | ||||
Yoda – Don’t Try. Do
When small business owners are asked what Star Wars character they most identify with when it comes to financial planning, rises to the top, Yoda does.
“A famous quote that resonates with me when working with small business owners every day is something that Yoda says all the time: “Do or do not, there is no try.” Most successful small business owners I talk to believe that failure is not an option. They are not starting a business to try to be successful, instead, they will do everything needed to be successful,” said Madgett. “Also, I am not surprised to see
Small Business Owners | |||
(n=1,059) | |||
Yoda - patient, will use past experience to guide future decisions (serving them very well), while passing on wisdom and knowledge to future generations is also an important piece of overall goal | 23% | ||
|
16% | ||
|
16% | ||
|
16% | ||
|
13% | ||
Chewbacca - loyal and committed, will consult partner when making financial decisions and is ready to take on any task for the good the business | 12% | ||
C3PO - fretful, will often wind up in a financial bind, sometimes needing help from others but other times surprising even themselves in working out a solution | 5% |
About the Survey
These are the findings from an Ipsos poll conducted
About
*Based on revenue as reported by “Fortune 500 ranked within Industries, Insurance: Life, Health (Mutual),” Fortune magazine, 6/12/17. For methodology, please see http://fortune.com/fortune500/.
**Individual independent rating agency commentary as of 8/1/17.
***New York Life Investments is a service mark used by
View source version on businesswire.com: http://www.businesswire.com/news/home/20180124005681/en/
[email protected]
or
[email protected]
Source:
Alleged Ponzi Scheme Hits Florida Seniors
Sunnyvale Working Scholars Helps Residents Earn Tuition-Free College Degree
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News