According to the inaugural BMO Small Business Confidence Report (index) released today, nearly three-quarters (72%) of Canadian entrepreneurs and 71% in B.C. are confident in their business prospects and the state of the economy.
This annual 'pulse check' also found that small business owners are more than four times more likely to say that 2013 will be a better year than they did in 2012.
The report is designed to produce an index score that measures the level of confidence small business owners have in the economy based on a series of key indicators, including how they feel their business is currently performing, whether they believe the following year will be a better or worse year for business than the current year and whether they expect their business will grow or shrink next year.
As a single-figure snapshot of small business confidence, this year's nationwide index score would register at 63 out of 100. B.C. fell slightly below the national average with an index score of 61.
In the report, 71% of B.C. small business owners described their business performance year to date as excellent to good, while almost one-third (29%) indicated their business had performed fair to very poor so far this year.
B.C.'s small business owners said they expect that 2013 will be a better year for their businesses than 2012, and that their businesses will grow next year. Of entrepreneurs, 53% said that they believe 2012 will be a better year for their business versus 19% worse, and 44% predicted their businesses will grow in 2013; 10% expected their businesses to shrink.
Nationally, numbers skewed slightly more optimistically with 56% of entrepreneurs forecasting a better year ahead and 12% expecting a worse year. Likewise, 50% predicted growth in 2013 and only 6% foresee their business' shrinking.
