Business owners are optimistic about their companies’ future success, but remain wary of NJ economy
For New Jersey business owners, the future looks bright . . . for the most part. The New Jersey Business & Industry Association (NJBIA) recently published the results of its Business Outlook Survey. The general consensus is that business owners are optimistic about their companies’ future success, but remain leery about the NJ economy.”Our members tell us they expect hiring, sales and profits to rise in 2017. However, they still report concern about the state’s economic future,” said NJBIA President & CEO Michele Siekerka. The annual survey polled 1,046 NJBIA members. In total, 62 percent are considered small businesses, with less than 25 employees.
Below are several key findings:
Twenty-nine percent of businesses will increase employment next year, while only 9 percent plan to decrease employment.
Fifty-four percent of businesses expect sales to rise, and 16 percent predict sales will fall.
Forty-eight percent of businesses think profits will rise, while 17 percent say profits will fall.
Forty-three percent of businesses plan to increase the dollar value of their purchases, while 16 percent expect the dollar value of their purchases to go down.
Sixty-nine percent of businesses will increase employee wages in 2017. Sixty-one percent will give raises ranging from 1 to 4.9 percent, and 8 percent will give raises that are higher than that.
Challenges Brought Forth by NJ Economy
On the negative side, many New Jersey businesses expressed concern about the State’s economy and the resulting challenges it will bring. Only 20 percent believe the economy will perform better in the first six months of 2017, while 32 percent believe it will perform worse.
Minimum wage hikesalso ranked high on members’ list of concerns. Overall, 70 percent of business owners reported that increasing New Jersey’s minimum wage would impact their businesses. A higher minimum wage would result in staff reductions and price increases, as well as, reducing employee working hours and the additional automation of services, according to the survey.
Business owners also expressed concerns about escalating healthcare costs and property tax bills. The majority of business owners believe that New Jersey is not competitive with other states in several key categories. According to 87 percent of those surveyed, the State is worse in taxes and fees. Another 73 percent perceive New Jersey to be worse in attracting new business, while 63 percent said the State is worse in controlling healthcare costs.
Are you a business owner in New Jersey? Do you have any questions? Would you like to discuss the matter further? If so, please contact me, Michael Jimenez, at 201-806-3364.
Breaking Down New Jersey’s “Mansion” Tax: What Buyers and Sellers Need to Know
For many years, the New Jersey Mansion Tax has been a significant consideration in high-value real estate transactions. Recent legislative changes, however, have substantially altered how the tax operates, including who is responsible for paying it and the amount owed in certain transactions. Whether you are purchasing, selling, or investing in New Jersey real estate, […]
Estate Planning for Digital Assets Under New Jersey Law
As our personal and financial lives increasingly move online, estate planning must evolve to address a new category of property: digital assets. From email accounts and social media profiles to cryptocurrency and cloud-stored business records, these assets often carry both financial and sentimental value. Yet, without proper planning, they can become inaccessible—or even lost—upon incapacity […]
The Role of Representation and Warranty Insurance in M&A Transactions
In today’s mergers and acquisitions market, representation and warranty (R&W) insurance has become a common feature of deal negotiations. Once used primarily in larger transactions, R&W insurance is now frequently incorporated into middle-market deals as buyers and sellers look for efficient ways to allocate risk and close deals. When structured properly, R&W insurance can help […]
You Just Received a Federal Grand Jury Subpoena in New Jersey: Now What?
Receiving a federal grand jury subpoena is not something most businesses or individuals anticipate. While it can be concerning, a federal grand jury subpoena does not necessarily mean that you are being accused of wrongdoing. It does, however, mean that a federal criminal investigation is underway and that federal prosecutors believe you may possess information […]
Why Every Business Should Conduct an Annual Insurance Coverage Review
Most New Jersey business owners purchase insurance policies, file them away, and assume they are protected if a claim arises. Without a regular insurance coverage review, many companies discover gaps only after a lawsuit, cyberattack, property loss, or other significant event occurs. An annual insurance coverage review can help businesses identify potential risks, ensure their […]
Demand Letters & Cease and Desist Letters: When to Send One (and When Not To)
Businesses and individuals often encounter situations where another party breaches a contract, fails to pay a debt, or continues harmful conduct. In many such disputes, a precisely drafted demand letter or cease-and-desist letter serves as a powerful legal tool. It can frequently resolve the dispute and avoid litigation. While demand or cease-and-desist letters can resolve […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
