Nearly one in three business owners interviewed for a recent PNC Bank economic outlook survey, the results of which were announced yesterday (Oct. 2, 2008), say they’re pessimistic about their companies’ future during the next six months. Credit availability, the prospect of a recession, and energy prices are at the top of their minds.
PNC said its survey is meant to “gauge the mood and sentiment among small business owners.” Its latest edition found that:
- Seventy-four percent of business owners surveyed think higher energy prices will have a negative effect on their operations. Seventy-one percent worry about a recession. The possibility of inflation concerns 65 percent.
Those fears may only be compounded, PNC Chief Economist Stuart Hoffman said, if a national financial rescue plan – passed Wednesday by the Senate and possibly due for a vote today (Oct. 3, 2008) by the House – is defeated. If that’s the case, Hoffman added “the economy is likely to remain weak through the middle of next year and beyond.”
- Fewer owners expect to grow sales in this weak business environment. Twenty-six percent expect profits will decrease. Ten percent expect to reduce the number of full-time employees.
- Consistent with reports of credit market tightening, 25 percent reported it’s tougher now to get credit.
PNC’s branch office closest to Sanatoga is just west of the village at 1535 E. High St., Pottstown PA. The bank also operates automatic teller machines at the Turkey Hill Market, 3051 E. High St., Sanatoga; at Exelon’s facility at 31466 Sanatoga Rd.; and at 14 other locations within a 5-mile radius of Sanatoga.