Gazelle Index 2012 Minority Business Report
The 17 page report is now available. The report analyzes the economy and the 2012 outlook for small businesses owned by minority, women and non-minority CEOs.
Get the full report by clicking on the hyperlink above.
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The results are based on thenational random survey of over 600 CEOs who operated businesses with 10 to 100 employees.
The survey had a margin of error of 5% or less for each race and gender group. This report is based on survey questions issued in November of 2011. The questions were forward-looking in that they were designed to gauge the outlook and hiring plans of CEOs during 2012.
Economic Situation Summary
Government fiscal austerity measures and declining corporate fixed investment are adversely affecting small businesses and particular minority-owned businesses. This is because minority firms depend more heavily on government contracting opportunities than do non-minority-owned businesses.
Summary of Minority Business Outlook and Hiring Plans
- Businesses owned by Latinos were the hardest hit by the recession. Overall, 55% reduced their workforce and but 26%cut by more than one-half.
- Black CEOs expressed the greatest optimism about the future, and they plan to engage in the most hiring in 2012.
- Latino businesses stood out because only 20% plan to increase hiring in 2012, while 17.6% will decrease employment.
- Overall more small businesses plan to add workers than to cut workers (a net difference of 12.3%).
- The industries where the largest net increase in hiring will occur are information technology (43.2%), management and administrative services (31.3%), health and education (18.3%), wholesale 16.3%), and construction (14.2%).
- Regionally, black business hiring will be strongest in the Northeast, where 43.8% of businesses intend to add workers while only 6.2% will cut payrolls.
- Women CEOs plan to increase hiring in 2012. Based on the national survey, 26.1% of women-owned businesses will increase hiring in 2012 while only 13.3% will decrease hiring. Hiring by women-owned businesses will be strongest in the South.
The full report is now available at the hyperlink above