Small to mid-sized business owners remain largely upbeat about their prospects for doing business in the state of Michigan, and say that overall sales and profits “remain strong with little sign of decline.” That’s the quick assessment of the June 2016 Michigan Future Business Index published last week by a partnership between the Michigan Business Network and Accident Fund Insurance Company of America.
Last December survey respondents said that the second half of last year proved to be the most profitable in the history of the Michigan Future Business Index, and they told surveyors in June 2016 that “profits have largely stayed steady,” with very few saying things are moving in the wrong direction.
Perhaps the most notable finding in this latest survey is a significant improvement in business leaders’ assessment of the labor pool in Michigan. The ongoing issue of difficulty in filling vacant jobs hasn’t gone away, however, a majority (51-percent) now give it a positive rating of either “pretty good” (41-percent) or “excellent” (10-percent). That’s a 5-percent improvement in the past six months.
Those companies having difficulty filling open positions is down to 45-percent from 49-percent in December of 2015. Plus, while 56-percent of those actively searching for talent are having difficulty, that is down from 63-percent with the same problem last December.
The survey also shows that many key indicators remain strong. Sales, hiring and wages have all held steady since December. Additionally, 68-percent of respondents rate Michigan favorably as a market for their goods and services and 65-percent say Michigan’s tax system is fair to their business. While plans for new hires and higher wages have ticked downward slightly, very few say they are planning layoffs.
Mike Britt is President of the Accident Fund Insurance Company of America. He says, “Small businesses remain largely positive about their prospects for doing business in Michigan.” He adds, “Although projections of growth have slowed since December 2015, overall sales and profits remain strong with little sign of decline.”
Chris Holman, CEO of the Michigan Business Network says, “The latest survey shows that Michigan small business owners remain bullish about the future.” He concludes, “We continue to see great optimism for future growth into 2016 and beyond.”
You can find a detailed summary of the June 2016 Michigan Future Business Index by clicking the link below:
