LOS ANGELES — 1st Century Bank, a division of MidFirst Bank, today released the second edition of the research series "Los Angeles Small Business Attitudes" in partnership with Beacon Economics. Overall, the study shows small businesses in Los Angeles have continued optimism for growth across numerous industries for the next six months.
1st Century recently hosted a breakfast meeting where Chris Thornberg of Beacon Economics presented the study and findings to a group of local business owners and interested parties. This fall's survey and report found sustained optimism among Los Angeles' small businesses, with expectations for continued economic growth - at the local (89 percent), national (85 percent) and global (75 percent) levels - remaining strong. "Small businesses are a telling gauge of the economy and the attitudes reflected in this survey indicate that times are good in Southern California" said Christopher Thornberg, Founding Partner of Beacon Economics. "There is a sustained optimism among small business owners that economic growth will continue not only locally, but at the national and global level as well."
The effects of a low unemployment rate and tight labor market are evident in the shifting experiences of small businesses looking to hire. Over the past six months, 12 percent of small businesses indicate they have seen a decrease in qualified candidates, and 19 percent report having job openings that have remained unfilled. The struggle for qualified talent led 21 percent of respondents to report they are incurring increased costs associated with recruiting candidates for open positions.
Some key findings of the full report which is available at 1cbank.com/research:
- The labor market continues to tighten, securing talent is taking longer and costing more
- 79 percent of respondents had a favorable view on recent federal tax cuts
- 57 percent of respondents to make capital investments in their business within the next six months
- 60 percent of respondents expect to see salaries and wages continue to rise
"We are invested in continuing this research, our first edition of the study was well received in the spring and this second edition highlights some important shifts that may be indicators of things to come. We are pleased to share this report to the small business community of Los Angeles and confident this information will be of value to business owners," said Jason DiNapoli, CEO and President 1st Century Bank.
1st Century Bank is a division of MidFirst Bank, one of the nation's largest privately held financial institutions. This combination of private ownership, a strong capital base and local market focus and expertise, allows 1st Century Bank to provide greater scale and opportunity for its clientele. 1st Century Bank's exceptional service model provides the flexible, local decision-making that has distinguished it in the Los Angeles market.
