As touched upon briefly in the post earlier this week, How to Use Efficiency to Grow Small Business Lending Solutions, there’s good news going on for the Rustbelt states of Ohio, Pennsylvania and Michigan. Small and medium size businesses are experiencing sizeable growth, and 2016 looks to be more of the same as these business owners look to reinvest in their business and employees. Having the right credit union lending solutions available can have you ready to get in on this action.
The November 2015 Michigan Future Business Index, published Dec. 22 in partnership with Accident Fund Insurance Company of America and the Michigan Business Network, revealed these findings that we wanted to share with you.
It’s the ongoing revenge of the Rustbelt, as cities once built upon steel, coal and blue-collar muscle power are now returning to vigor with new businesses and an optimism missing for decades.
In Ohio, the health care industry, led by the expansion-minded Cleveland Clinic, is transforming Cleveland’s economic landscape. A couple hours to the east, in Pennsylvania, Pittsburgh real estate is going through the roof, driven by a spate of entrepreneurial types too young to be held captive by the city’s steelmaking past. And in the Wolverine state, Michigan, sales are up, companies are hiring and the mood is upbeat.
An interesting discovery: The Motor City was the hottest job market, despite its fall from grace as the auto-making capital of the world. The survey found that Metro Detroit is currently a hotbed for hiring.
Among key findings of the phone and online survey of nearly 900 company representatives included:
- 70% of respondents are satisfied with the economy;
- 50% said sales are up, compared to 35% in late 2011;
- 44% of the companies will hire more workers in 2016;
- 42% expect to increase wages in 2016;
- 44% of companies reported rising wages as compared to 15% in 2011;
- 32% of companies hired people in 2015, compared to 11% in 2011;
- 38% expect an improved bottom line over the next six months – a new high for the survey.
However, while recruiting and retention were cited as employers’ No. 1 concern, No. 2 was managing growth — not a bad thing, given the Rustbelt’s long decline following the collapse of the U.S. steel and auto industries.
“Four in ten plan to expand their product or service offerings over the coming year and over two-thirds believe Michigan is a great market to find and retain customers. It’s a great time to own or work for a small business in Michigan,” the report said.
Are your credit union lending solutions ready to meet the needs of your members and small business accounts?
