Beacon Equity Advisors' latest survey of business owners shows Manufacturing, Distribution and Service industry owners are looking forward to a positive year. A majority of responding firms anticipate increasing revenues and need to add to their work force in 2016.
The most revealing result was nearly 63% of the firms expect to hire in the coming 12 months. "This is a positive sign for New England businesses," comments David Humphrey, President of Beacon Equity Advisors. The Beacon respondents did not match the views from the Labor Department, contrasting sharply with the economic outlook report from the U.S Bureau of Labor Statistics. The BLS reported it anticipated a negative growth of 6% within manufacturing firms, and only a small growth of 5% within the distribution industry, over the next 8 years.
Many firms have an optimistic attitude, as 94% believe their industry will either stay in line with 2015 or improve in 2016. 80% of respondents expect their revenues to grow. 40% respondents believe that their revenues will increase over 5% percent beating the national inflation rate. The survey also noted a majority of these owners have capacity to grow, 72% were comfortable with increasing or holding steady capital spending and have diverse methods of capturing this anticipated growth.
Beacon's quarterly survey was answered by 107 business owners of mid-sized businesses in New England. The survey asked 16 questions which enabled Beacon to analyze demographics and the owner’s expectations for the coming 12 months.