Startup Sentiment Remains Positive, But Concerns Rise About Future Business Conditions
Over 74% of Aspiring Owners Intend to Start Businesses Within Six Months
NORFOLK, Va., July 13, 2022 (Newswire.com) - Aspiring business owners have been optimistic through the course of the pandemic and recent economic concerns, but they perceive less favorable business conditions for startup three months out. Of aspiring business owners surveyed in June, 74.4% were resolute about starting their businesses within the coming six months. Currently, 65.2% of would-be entrepreneurs agree or strongly agree that "now is a good time to start a business," down from 73.5% in February. But while 68.2% of these survey respondents see business conditions about the same or getting better in the next three months, 31.8% — the highest on record — see conditions getting worse, according to the monthly Small Business Startup Sentiment Index™ from FranchiseInsights.com.
The most recent Startup Sentiment Index™ survey was conducted June 23-30, 2022.
- Future business conditions: More respondents see conditions worse for startups (31.8%) than better (29.5%) in three months compared to now.
- Access to funding: The percentage of entrepreneurs concerned about finding adequate funding grew to 75.6%, with those seeing funding "harder or much harder" to obtain in the next three months eased slightly to 42.3%.
- Demographics: Forty-eight percent of respondents were currently employed full-time, and 17.3% were current business owners seeking an additional business. Gen-X (41.9%) and Gen-Y "Millennials" (32.4%) were the largest age cohorts, and "Baby Boomers" jumped to 22.8%, the highest percentage in 18 months. Gen-Z trailed at 2.9%.
"Entrepreneurs are putting aside their concerns about conditions three months out," says Hunter Stokes, president of FranchiseVentures. "Some may be seeing an opportunity to move ahead while others are cautious."
Download a copy of the June 2022 FranchiseInsights.com SSI report here. See excerpts from prior SSI™ surveys and subscribe to receive the Small Business Startup Sentiment Index™ monthly report when it is released.
The Small Business Startup Sentiment Index™ is based on a monthly survey of individuals who have recently inquired about businesses or franchises for sale on the digital assets of FranchiseVentures.
About Franchise Insights
A unit of FranchiseVentures, FranchiseInsights.com provides research and intelligence to help the franchise industry and investors understand and meet the needs of budding entrepreneurs who want to own their own businesses. With a vast and growing proprietary data set of U.S. franchise inquiries, we use the tools of data science to make inferences and discover best practices to foster the growth of small businesses.
FranchiseVentures is the leading demand generation platform for aspiring business buyers and franchisees of thousands of growing franchise systems in the United States and Canada. Its franchise lead generation brands include Franchise.com, FranchiseSolutions.com, FranchiseGator.com, FranchiseOpportunities.com, FranchiseForSale.com, SmallBusinessStartup.com and BusinessBroker.net, and together they provide the largest aggregation of prospective business and franchise buyers worldwide.
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Source: Franchise Insights