According to The inaugural American Express Entrepreneurial Spirit Trendex, a new survey of small business owners and consumers, optimism remains high. Despite the tumultuous year many small businesses experienced, 81 percent of entrepreneurs said the challenges of owning their own business are outweighed by the benefits. Moreover, 75 percent of respondents said they are optimistic about the recovery of their businesses and 82 percent said they feel more prepared to deal with a crisis in the future.
Because of shutdowns and restrictions, small businesses owners had to adjust to fit the current economic climate. Seventy-six percent of respondents said they have (or are in the process of) changing their business model to keep up with sales. These adjustments included moving business online or switching to manufacturing Personal Protective Equipment (PPE).
American Express also surveyed consumers on their spending trends and changes they made during the pandemic. Forty percent of respondents said they changed their spending habits to new or different priorities. About 76 percent of customers said this trend will continue over the next six months as they adjust to new necessities. When asked about important factors when deciding on where to make purchases, 74 percent responded that local, community businesses are important to support.
With Small Business Saturday just a few weeks away (November 28th), this survey data provides a reminder of the importance small businesses play within our communities and our economy. As you prepare for the holiday season, please remember to support your local businesses.