Our online panel members took part in the research involved in the production of the recent Nedbank Small Business Index (quarter 4 report. Learn more here.
Nedbank recently released the results of the Nedbank Small Business Index (quarter 4) survey. Our online panel members took part in this survey so it was your input, insights and opinions that helped bring this report to life, thank you from us at ConsultaPanel as well as the research team at Nedbank.
What is the index all about?
The Nedbank Small Business Index™ is a quarterly survey-based Index, providing an assessment of the small businesssector. It tracks trends and issues affecting small businesses in South Africa and provides information to:
• understand and track the confidence and behaviour of the South African small business sector;
• monitor small business activity (especially with respect to financial behaviour);
• gauge the small business sector’s expectations of government and the private sector; and
• explore the difficulties small business owners face and the impact on their businesses.
The surveys were done telephonically well as through online surveys among a representative sample of small business owners, with a turnover of between R500 000 and R20 million across all industries.
Key insights from the Nedbank Small Business Index (Quarter 4)
- Overall confidence remains subdued as businesses continue to feel the pressure: Overall business confidence, as measured by business owners’ views on their current financial situation, health of their cash flow, current operational costs and support from the private sector, has remained stable over the last four quarters, as businesses exhibit what seems to be a small but consistent pessimism throughout the period
- More support required from the public and private sectors: Quarter four saw the highest levels of support from the private sector (5.2 out of a possible 10; up from 4.9 in quarter three) but the lowest levels of government support (2.2 out of a possible 10; down from 2.5 in quarter three). From a government perspective, the areas in which small businesses would like to see improvement include the reduction of red tape, amendment of BEE regulations and policies, more contribution to the general improvement of the economy and better service delivery. Small businesses would also like to be entrusted with more work or subcontracted by medium or large corporations. Small business owners feel that larger corporates should also play a part in training and up-skilling the labour force.
- Small businesses look to Africa for growth: A total of 31% of businesses indicated that they that would like to expand into international markets in the next 12 months, with 48% focusing on exports only, 10% on imports only and the rest on both.
These are only some of the key findings of the Nedbank Small Business Index. Download the full report to learn more about the unique challenges and opportunities that small local businesses face. Thanks to all our online panel members who took part in this research initiative.