REINVESTING NO.1 PRIORITY FOR QLD BUSINESS OWNERS
Written on the 3 May 2011
REINVESTING for future business growth is the number one priority for Queensland private business owners, according to financial services giant PriceWaterhouseCoopers (PwC).
- Nearly three quarters of the businesses surveyed nationally maintained or grew sales in the past 12 months.
- Three out of five businesses met or exceeded their revenue targets. NSW was the strongest performer with 66 per cent of businesses meeting or exceeding their revenue targets.
- Organic growth remains the preferred method of growth at least in the short term, while plans for acquisitions will rise from 20 per cent in the next 12 months to 28 per cent in the longer term.
- The greatest challenge for private business continues to be finding competent staff. Competition on pricing and its effect on margins is the second greatest challenge.
- 21 per cent of businesses making investments will turn to the major banks.
- Average national debt levels are improving having reached 21 per cent, but the optimal average is around 30 per cent.
- 42 per cent of private businesses are struggling with staffing issues, down from 52 per cent last year.
- Two thirds of businesses are looking to hire new staff in the next six months and an average wage increase of six per cent is anticipated by four out of five businesses.
- A record high 94 per cent of businesses are engaging in strategic planning.