Small businesses say profits miss expectations: survey

Small businesses say profits are missing expectations, according to a new poll by Goldman Sachs 10,000 Small Businesses Voices.

The poll, released Wednesday, found that small business owners said they were “squeezed this holiday season even as large businesses hit record revenues and sales,” according to 10,000 Small Businesses Voices.

“Small businesses are the backbone of America. Yet, as we head into this holiday season, we’re finding it harder than ever to succeed,” said Janice Jucker, a small business owner and member of the Goldman Sachs 10,000 Small Business Voices National Leadership Council members, she said in a statement.

“With our economy teetering on the brink of recession, it’s more important than ever that Washington provides small businesses with the resources we need to not only survive, but to succeed,” Jucker added.

Conducted Jan. 1-7, the survey surveyed 331 small business owners in the consumer goods retail/wholesale, food and beverage retail/wholesale, and hotel/restaurant industries about their holiday sentiment.

In the poll, 40% said demand was down compared to last year, while 33% said it remained the same. Eighty-four percent of respondents believe large retailers have a competitive advantage this holiday season because they are better able to withstand inflationary pressures and offer lower prices. Meanwhile, inventory planning remains a challenge for small businesses, with 27% reporting that they currently have excess inventory that cannot meet current demand.

“This holiday season, small business owners across America are doing more with less,” Joe Wall, national director of Goldman Sachs’ 10,000 Small Business Voices, said in a statement.

Wall added: “It is critical that Washington meet their needs, and we are committed to ensuring that the voices of small business owners are heard at the highest levels of government.”

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