Capital One Bank Releases Results of Its National Quarterly Small Business Barometer Survey
MCLEAN, Va., Feb 10, 2011 (BUSINESS WIRE) --
Capital One Small Business today released the result s of its Small Business Barometer survey for the fourth quarter of 2010. The quarterly survey polls small businesses across the nation, gauging their current financial condition and business projections for the next six months. Survey results for the fourth quarter of 2010 suggest that many U.S. small businesses are more optimistic about the strength of the economy and their own financial position relative to the third quarter. Most small businesses in the survey also believe their business performance will be better in 2011 compared to 2010. However, despite these positive findings, most small businesses in the survey do not plan to add additional employees to their payroll in the next six months.
"Our survey results for the fourth quarter of this year suggest that many small businesses in the U.S. have a more positive outlook about the overall economic environment and believe 2011 will be a stronger year for their business, but many respondents remain cautious in regards to hiring in the near term," said Robert M. Kottler, Executive Vice President of Small Business Banking at Capital One. "It is encouraging, however, that small businesses reported feeling confident about their ability to access credit and financing as they look ahead and plan for future growth opportunities."
Outlook and Financial Performance
The survey results for the fourth quarter of 2010 suggest that the overall economic outlook of U.S. small businesses has improved relative to the third quarter and most businesses polled believe 2011 business performance will be better than it was in 2010. In addition, an increased percentage of small businesses report that they ended 2010 in a stronger financial position than where they started the year.
Spending and Hiring
Most U.S. small businesses polled continue to hold off on hiring in the near term, but the percentage reporting plans to increase spending on business development or investments ticked up slightly compared to the third quarter.
Availability of Financing
The survey results suggest that most small businesses continue to have adequate access to credit and financing.
Investing in E-Commerce
Capital One also polled small businesses about their e-commerce capabilities and activity. Overall, most small businesses are not using e-commerce to sell their products or services
The findings reported in this release are from a telephone survey conducted by the opinion research firm, Braun Research of Princeton, NJ. Braun Research interviewed a nationally-representative sample of 1,906 for-profit small businesses in the U.S., weighted to Dunn and Bradstreet counts of all businesses nationwide by employee size and geography. Samples were also taken in New York, New Jersey, Louisiana, Texas and the Washington, D.C. metropolitan area. Small businesses are defined as those with less than $10 million in annual revenue. The interviews were conducted from December 6-30, 2010. All interviews were conducted by telephone at their places of business. One respondent per business was contacted. The margin of error is ± 2.3 percentage points at the 95% confidence level. Interviews were monitored at random. Sampling for this study was conducted using a national sample of businesses drawn from InfoUSA. All interviews were conducted using a computer assisted telephone interviewing system. Statistical weights were designed from the United States Department of Commerce to ensure proper inclusion of all SIC codes.
About Capital One
Capital One Financial Corporation (www.capitalone.com) is a financial holding company whose subsidiaries, which include Capital One, N.A. and Capital One Bank (USA), N.A., had $122.2 billion in deposits and $197.5 billion in total assets outstanding as of December 31, 2010. Headquartered in McLean, Virginia, Capital One offers a broad spectrum of financial products and services to consumers, small businesses and commercial clients. Capital One, N.A. has approximately 1,000 branch locations primarily in New York, New Jersey, Texas, Louisiana, Maryland, Virginia, and the District of Columbia. A Fortune 500 company, Capital One trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 100 index.
SOURCE: Capital One Financial Corporation
Capital One Financial Corporation