Florida businesses are feeling positive and for good reason.
The migration of retirees to southern states, which slowed in the aftermath of the Great Recession, has started to rebound. And more than half of Florida businesses (53 percent) are feeling optimistic.
The insight comes from TD Bank’s Small Business Outlook Pulse Check.
Although businesses are generally upbeat about the future, optimism has dropped 15 percent year-over-year.
Surge in Migration of Retirees to Florida Fuels Optimism
Some of the key findings of the report are:
- Forty-two percent of Central Florida and 44 percent of South Florida businesses feel the state’s growing population will benefit their enterprises.
- Twenty-nine percent of Central Florida and 24 percent of South Florida businesses believe the growing retiree population with more disposable income will contribute to growth.
- Nineteen percent of business owners in Central Florida and 22 percent of owners in South Florida believe the prevalence of tourism and seasonal residents provides the opportunity for a unique source of revenue.
While retiree migration has instilled a new sense of optimism in small businesses, challenges facing them continue to persist.
According to the report, local/regional economic uncertainty (27 percent) is the biggest challenge at the moment. It is followed by the national election/a new presidential administration (27 percent).
Small businesses in Florida are also concerned with healthcare costs (23 percent).
“Small business owners are typically cautious about protecting their bottom line and feel more significant impact from economic shifts than larger corporations,” said Ernie Diaz, Regional President for Metro Florida at TD Bank. “It is no surprise that they perceive general uncertainty around the national economy, interest rates and the new president as potential challenges to their operations.”
New Jersey-based TD Bank interviewed 300 small business owners in Central and South Florida for the report.
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