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Media Room

Press Kits - Business Banking - Small Business Week 2009

Media Room


TD Canada Trust Small Business Survey National Highlights

  • Fifty-seven percent of small business owners in Canada are optimistic about 2010, saying they think it is going to be a good year for their business or might be their best year yet.
  • Despite the recession, 63% of small business owners say their business performance was either on, or ahead, of projections.
  • How were small business owners impacted by the recession?
    • Thirty-one percent lost some business.
    • Eighteen percent are in more debt than they were 12 months ago.
    • Seven percent were forced to downsize their operations or staffing.
    • Five percent say they came close to bankruptcy or closing.
    • Interestingly, 12% grew their business despite the recession and 2% grew their business because of the recession.
  • The impact of the recession is evident in how small business owners rate their businesses. In 2009, only 19% of owners gave their business an A or A+, down from 25% in 2008 and 44% gave their business a B, down from 50% in 2008. However, the majority of small business owners say they managed well relative to the competition with 65% saying they fared as well as their main competitors and 28% saying they fared better.
  • For small business owners that gave their business performance an A or A+, more than half (56%) attributed their good year to the fact that they were not affected by the recession. This was followed by innovating with the right products/services at the right time (19%) and focusing on what they are good at and outsourcing the rest (19%).
  • The impact of the recession is still anticipated to be a big issue owners will face in 2010, with 30% naming it as the top challenge for next year, followed by managing cash flow (20%) and managing growth (16%).
  • The top three things that keep small business owners up at night:
    • 31% say the impact of the recession.
    • 28% say cash flow (meeting payroll, paying suppliers).
    • 8% say hiring/retaining talent.
  • In the 2008 survey, small business owners anticipated that their biggest business challenges in the coming year would be cash flow (23%) followed by managing growth (20%). In reality, they said their biggest challenges in 2009 were the impact of the recession (32%) followed by cash flow (25%) and managing growth (11%).
  • Overall, 61% of small businesses in Canada have been negatively impacted by the recession; 30% notably so from increased debt, forced downsizing or bankruptcy concerns.
  • What does 2010 look like for small business owners?
    • Nine percent of small business owners are excited about 2010 saying it might be their best year yet.
    • The largest group, at 48%, is optimistic, believing 2010 will be a good year.
    • Twenty-seven percent indicated that they anticipate their business to be flat.
    • Fifteen percent of business owners are concerned, believing that 2010 will be another tough year and 2% say they are panicked, not confident that their business can survive another year.
  • Reduced operating costs have been the key change over the past year (40%) for small business owners in Canada, followed by streamlined processes (16%). 35% said they did not make any changes.