As many as seven in 10 Canadian small businesses are either in decline or have stagnated growth, according to a survey done by a small business lender.
The Lendified Index—completed by Lendified.com—also found that 48% of business owners are relying on personal lines of credit to regularly manage cash flow. André Turcotte, an associate professor at Carlton University’s School of Journalism and Communications managed the poll.
Troy Wright, the founder and chief executive officer of Lendified.com said many small business owners are using personal credit cards to finance large portions of their business.
“Of note, The Lendified Index measures the likelihood of small businesses to hire more staff in the next year,” added Wright. “As it stands now, 17% of small businesses intend to hire over that period.”
The poll interviewed 350 small business owners across Canada in late September.