The ΒιΆΉΣ³» Small Business Development Center in the College of Business at the ΒιΆΉΣ³» announced the results of the ΒιΆΉΣ³» 2023 Small Business Challenges Survey this fall. The survey, which ran from Aug. 1 to Sept. 15, collected responses from 580 small business owners and entrepreneurs across the state of ΒιΆΉΣ³». Ninety-eight percent of all businesses in ΒιΆΉΣ³» are small businesses.
“Keeping a finger on the pulse of what ΒιΆΉΣ³» businesses need is critical so that organizations can adapt services and programs accordingly to support economic development,” Greg Mosier, dean of the College of Business, said.
ΒιΆΉΣ³»’s existing and new small business owners are still struggling with many of the same issues identified in 2022. Much like last year’s survey results, existing small business owners primarily need help with business planning/adjusting business models, developing and expanding their customer base, and securing funding. For those entrepreneurs starting a business, finding funding is not a new challenge, but they also need help developing new ideas, understanding licensing, regulations, and taxes, and determining feasibility.
“This year’s Small Business Challenges Survey reiterated the need for business planning support and increased advising and training opportunities for business owners,” ΒιΆΉΣ³» SBDC State Director Winnie Dowling said. “Specific areas of need include better awareness of cash flow, marketing to new and existing customers, and understanding of government licensing, permitting and regulations.”
For existing business owners, the top challenges cited were adapting to inflation (44%), finding new customers (44%), managing cash flow challenges (30%), managing business growth (29%) and securing funding (26%).
Top challenges in starting a business cited by ΒιΆΉΣ³» entrepreneurs included securing funding (71%), developing marketing strategy (34%), developing a business plan (31%), understanding/complying with government regulations (28%) and determining if business/product will be profitable (25%).
Respondents operating in rural areas of ΒιΆΉΣ³» faced similar challenges. However, adapting to inflation stood out as being of particular importance, with 62% of the 51 existing rural small business respondents citing inflation as a major challenge.
“In 2023, the ΒιΆΉΣ³» Small Business Challenge Survey has proven to be invaluable and provided the data-driven foundation for devising ΒιΆΉΣ³»’s State Small Business Credit Initiative (SSBCI) Technical Assistance program application to the U.S. Treasury,” Karsten Heise, senior director of strategic programs & innovation at the Governor’s Office of Economic Development and the overseer of the SSBCI program, said. “Keeping track of ΒιΆΉΣ³»’s small business needs, particularly with respect to access to capital, enables our SSBCI Technical Assistance Program to be nimble and responsive.”
GOED has partnered with the ΒιΆΉΣ³» SBDC, which is its sole sub-grantee for the operation for SSBCI Technical Assistance. Complete results of the .
The ΒιΆΉΣ³» SBDC, hosted by the College of Business at the ΒιΆΉΣ³» and supported by the , has offered no-cost and confidential professional advising services to ΒιΆΉΣ³» small businesses since 1985.
