Hispanic Business Owners Optimistic – OnlineBusinessDegree.org
The majority of Hispanic U.S. business owners are optimistic about the future growth of their companies, but plan on spending less money due to the current economic issues, according to a recent survey by PNC Bank.
The first-ever Hispanic Business Owners Outlook contains insight from Hispanic business owners throughout the nation. The report found that 77% hoped to grow their business over the next two years and 69% feel their business is meeting or exceeding their expectations for sale and financial performance. Additionally, 52% have a moderately optimistic six-month outlook on their business.
However, finances prove to be an area for concern, with 71% saying they would definitely or probably conserve cash in the next six months and 59% saying they plan to reduce capital spending. Sixty-eight percent will reduce or eliminate business expenses and 15% intend to reduce staffing. As for taking out a new loan or line of credit, only 24% plan to do so while 62% will trim debt. Twenty-eight percent use their personal savings or personal credit cards as the primary funding source for their business.
Findings also reveal the importance of family to the Hispanic business owner. Sixty-percent reported having their family involved in business operations, and 45% intend to keep the business in the family when they retire. Additionally, 28% say obligation to family is their top motivator for staying in business.
Most Hispanic business owners are looking to hire English-speaking employees, with 85% saying it’s important to speak English. Just 36% said it was important to speak Spanish.
The national survey was conducted via telephone and included 402 interviews between May 18 and June 12, 2012.
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