Could 26, 2023

Tiny and midsize businesses’ self-assurance in the economy is on the wane, according to the “Q2 2023 Key Street Index” released this week by Cbiz Inc., a provider of economic, insurance coverage and advisory solutions. Staffing issues had been one particular be concerned.

The index fell to a reading of 60 points this quarter from 68 points in the final quarter.

A survey for the report located 51% of little and midsize firms have a damaging or neutral outlook on the economy, and only 49% reported a constructive or pretty constructive organization self-assurance more than the subsequent six months. In addition, additional than seven in ten anticipated a additional downturn in the economy.

“There’s a lagging impact to final year’s interest price hikes,” Anna Rathbun, chief investment officer of CBIZ Investment Advisory Solutions, mentioned in a press release. “The newest CBIZ Key Street Index shows the Fed’s actions, along with other elements, are beginning to open additional cracks in the foundation of the economy.”

The report mentioned 27% of respondents reported larger interest prices had been impacting the funding wants of their firms, up from 17% in the initially quarter.

Practically half of respondents to Cbiz’s survey, 48%, listed employee retention as a quit concern, up from 25% in the initially-quarter report. The newest survey also located that 56% are worried about getting adequate skilled workers on employees.

The survey for the existing report integrated responses from 753 firms with fewer than one hundred workers in 31 industries across the US. It took location from April 24 to Could five.