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Miami Small Business Owners Say Finding and Retaining Talent Is Challenging, but Critical for Success

Fall Bank of America Small Business Owner Report Finds Local Optimism Heading Into 2014

Thursday, November 14, 2013 9:00 am EST

Dateline:

MIAMI

Public Company Information:

NYSE:
BAC
"These report findings reinforce what we’ve been hearing from our clients – that talent is critical for success, but often times difficult to find and retain."

Bank of America today released its fall 2013 Small Business Owner Report, a semi-annual study exploring the concerns, aspirations and perspectives of small business owners across the country. The survey, which includes an oversampling of small business owners in Miami, found that one-third (33 percent) of Miami respondents plan to hire over the next 12 months. Yet more than half (55 percent) say finding qualified employees is difficult.

Of those small business owners who plan on hiring new talent in 2014, 30 percent are staffing up for an increase in business. With good talent difficult to find and small business owners looking to increase business, they are also focused on keeping valuable employees. The report found that the top actions small business owners in Miami take to retain employees are offering a competitive salary (50 percent), bonuses for high performers (47 percent) and flexible working arrangements (43 percent).

Half of Miami small business owners agree that managing their staff is a source of great pride for them. But more than half (55 percent) admit to having some level of frustration with their employees. Their top frustrations are poor time management (23 percent), lack of proactive thinking (20 percent) and lack of enthusiasm (19 percent).

For more information on small business owners’ talent needs, click here.

“By being on the ground and connecting face-to-face with small business owners in Miami, we’re better equipped to address any challenge or opportunity our clients face,” said Odalis Martinez, Miami Small Business Banking manager, Bank of America. “These report findings reinforce what we’ve been hearing from our clients – that talent is critical for success, but often times difficult to find and retain.”

Miami small business owners are optimistic about the year ahead, but continue to have concerns
Small business owners feel optimistic about the future of their businesses. Sixty-four percent of those surveyed in Miami expect their revenue to increase in the next 12 months. The report also found that 34 percent of Miami small business owners believe their local economy will improve over the next 12 months, but are not as confident about the national economy. Only 29 percent of Miami respondents think that the national economy will improve in the next 12 months, compared to 41 percent nationally.

Nearly three out of four (71 percent) Miami small business owners are concerned about the effectiveness of U.S. government leaders over the next 12 months and 61 percent are concerned about health care costs. Other concerns that may affect the success of their business in the next 12 months include:

  • Consumer spending – 59 percent.
  • Strength of the U.S. dollar – 54 percent.
  • Commodities prices (e.g., oil, gas) – 53 percent.
  • Interest rates – 53 percent.

Despite concerns about health care costs, almost half (48 percent) of Miami small business owners say their hiring plans will not change in the next year due to new health care legislation. In addition, only 30 percent of Miami small business owners currently provide health/wellness benefit packages, consistent with national levels (27 percent).

For more information on small business owners’ 2014 outlook, click here.

Holidays are “business as usual” for many small businesses
Almost nine out of 10 (87 percent) small business owners in Miami think Black Friday has little or no impact on their bottom line, with the same amount feeling Cyber Monday is similarly overhyped.

Maintaining a work-life balance during the last months of the year does not appear to be an issue for many Miami small business owners as only a quarter (27 percent) report working longer hours during the holidays.

Miami small business owners are especially generous when thanking their employees during the holidays. Approximately three out of five (59 percent) award salary bonuses, 10 percent higher than the national average, and almost half (46 percent) close their office during the holidays, 11 percent higher than the national response. Other popular perks are:

  • Giving gifts – 39 percent.
  • Offering flexible working hours during the holidays – 39 percent.
  • Hosting a holiday party – 33 percent.

Less than one-tenth of Miami small business owners (7 percent) do not intend to offer holiday-related perks this year.

For more information on small business owners’ holiday outlook, click here.

Bank of America has continued to lend actively to small businesses across the U.S. and Florida. Through September of this year, Bank of America has extended more than $886 million in new credit across Florida to small businesses – an increase of 48 percent over the same period last year. This has helped enable Bank of America to exceed its national small business lending pledge to the White House and the U.S. Small Business Administration.

For an in-depth look at the attributes of the nation’s small business owners, read the entire fall 2013 Bank of America Small Business Owner Report. An infographic with highlights of the report can be found here.

About the Bank of America Small Business Owner Report
Braun Research conducted the Bank of America Small Business Owner Report survey by phone between September 12 and October 3, 2013, on behalf of Bank of America. Braun contacted a nationally representative sample of 1,000 small business owners in the United States with annual revenue between $100,000 and $4,999,999 and employing between 2 and 99 employees. In addition, 300 small business owners were also surveyed in nine target markets: Los Angeles, Dallas, Washington, D.C., New York, Boston, Chicago, San Francisco, Atlanta and Miami. The margin of error for the national sample is +/- 3.1 percent and the margin of error for the oversampled markets is +/- 5.7 percent, with both reported at a 95 percent confidence level.

The Braun Research survey results conducted on behalf of Bank of America and interpretations in this release are not intended, nor implied, to be a substitute for the professional advice received from a qualified accountant, attorney or financial advisor. Always seek the advice of an accountant, attorney or financial advisor with any questions you may have regarding the decisions you undertake as a result of reviewing the information contained herein. Nothing in this report should be construed as either advice or legal opinion.

Bank of America
Bank of America is one of the world's largest financial institutions, serving individual consumers, small- and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. We serve approximately 51 million consumer and small business relationships with approximately 5,200 retail banking offices and approximately 16,200 ATMs and award-winning online banking with 30 million active users and more than 14 million mobile users. Bank of America is among the world's leading wealth management companies and is a global leader in corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business owners through a suite of innovative, easy-to-use online products and services. The company serves clients through operations in more than 40 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.

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