It is the most populous state in the nation, and according to a study by the bureau of labor statistics almost exactly one half of the entire 37 million plus people are in the civilian labor force of California. That’s one huge labor pool, and when we consider a 2008 study by the SBA claimed that small firms and businesses make up a huge majority percentage of total employment for the state of California, then the health and landscape of the small business community in California takes on a entirely new dimension.
And what are their major concerns? What keeps this massive cog in the wheel of California commerce that is the small business community squeaky and potentially corroded?
Well, according to this survey conducted by California Bank and Trust, mostly the economy.
By and large small business owners have a good relationship with banks in California, which makes perfect sense given that a full 54 percent of respondents said that cashflow was their most major concern when running their business. Smart to maintain a sturdy relationship with a bank if you are a slow business month away from turning off the lights.
Also of interest is the fact that 37 percent of small business owners cite economic uncertainty as their biggest fear regarding operations, while 30 percent cite new laws and legislation as their biggest impediment to operations. One has to wonder whether a recent unpopular tax legislation aimed at small business owners had anything to do with this negative sentiment towards California legislation.