Small business owners are optimistic about the future of their businesses, according to a recent study by the Bank of America Small Business Owner Report. Many are expecting an increase in revenue along with an increase in hiring in the near future. This is especially true for the younger owners. Of those included in the surveyed, almost 3 out of 4 younger small business owners expected an increase in revenue and over half expected to be doing more hiring. This optimistic outlook on their business is also shown outside of work. Many claim to be sleeping well, eating healthy and overall living a happy life. It is very likely that owners are becoming happier because the outlooks on their businesses are getting better, resulting in less stress. It is much easier to sleep when you know the chances of your business failing is low.
With this new hope of expansion, many small business owners will be looking for ways to raise funds. About 20 percent of small business owners will be applying for loans in the next year. The chance of being approved to receive these loans is very high. The top three ways in which owners would use funding from loans would be: investing in new equipment, marketing, and expanding operations. Funds would be used to further expand. Acquiring loans for small businesses is vital for their growth. Many small businesses find it difficult to raise the capital needed to grow. Without the acquisition of loans, many smalls businesses would fail or would cease to achieve the height of their potential. Aside from expansion, loans play a vital part in the survival of many businesses. On average, small businesses can only survive five months in the event that their operations are disrupted before needing some sort of financial assistance. Loans in times of need can keep businesses afloat long enough for them to get back on their feet and get through a troubled time. Without loans, many businesses would fail in times of trouble. With the up and coming young generation of small business owners being optimistic about the future, the need for small business loans is greater than ever. Small business loans are the fuel which allows small business owners to drive their business out of the ditch and race to new milestones.