John Gomez: March 10, 2020

HISPANIC SMALL BUSINESS OWNERS OPTIMISTIC AND PLANNING FOR GROWTH IN 2020

Revenue Projections Rise to Four-Year High

 

John Gomez

Senior Vice President, Small Business Region Executive, Los Angeles Region Market

 

According to a new Bank of America study exploring the concerns, aspirations and perspectives of more than 1,000 small business owners (SBOs) across the country, U.S. Hispanic small business owners are looking forward to a decade of robust expansion and growth. Hispanic entrepreneurs are expressing a brighter business outlook than their non-Hispanic peers for the coming year. In addition, nine in ten are looking forward to growing their business in the next decade.

 

Topics from the study that Bank of America Executive Elizabeth Romero is available to discuss include:

  • Hispanic entrepreneurs’ business forecast, including revenue projections and expansion and hiring plans
  • Hispanic business owners’ economic outlook and concerns for the year ahead
  • Hispanic business owners’ reflections on business growth barriers, as well as their goals over the next 10 years

 

Bank of America 2020 Hispanic Business Owner Spotlight Key Findings:

  • Business outlook remains strong for Hispanic entrepreneurs, exceeding that of their non-Hispanic peers.
    • 89% of Hispanic entrepreneurs plan to expand over the next 12 months (vs. 68% of non-Hispanic entrepreneurs, and steady from 87% in 2019)
    • 79% expect their revenue to increase in the year ahead (vs. 57% of non-Hispanic entrepreneurs, and up from 74% in 2019)
    • 45% plan to hire in 2020 (vs. 24% of non-Hispanic entrepreneurs, and down from 51% in 2019)
    • 78% plan to obtain financing over the next 12 months (vs. 49% of non-Hispanic entrepreneurs)
  • Hispanic entrepreneurs see the 2020s as a decade of opportunity.
    • 92% believe the small business environment will strengthen for their community over the next five years
    • 90% have set ambitious goals to advance or grow their business in the new decade
    • Top five goals over the next 10 years include: significantly increasing revenue (57%), prioritizing the digital presence of their business (45%) expanding into new markets (34%), significantly increasing staff (30%) and automating business operations (29%)
  • Hispanic entrepreneurs remain bullish, yet confidence in the economy is down slightly year-over-year.
    • 62% of Hispanic entrepreneurs are confident their local economy will improve in the year ahead (vs. 52% of non-Hispanic entrepreneurs, and down from 68% in 2019)
    • 53% are confident the national economy will improve over the next 12 months (vs. 49% of non-Hispanic entrepreneurs and down from 59% in 2019)
  • Economic concerns decline among Hispanic business owners but remain elevated over their non-Hispanic counterparts.
    • Health care costs remain the most worrisome economic issue for Hispanic entrepreneurs (63%), though concern fell to the lowest level since the survey began in 2017
    • Other top concerns in 2020 include: the political environment, strength of the U.S. dollar, commodities prices, consumer spending, interest rates, corporate tax rates and credit availability
    • Compared to their non-Hispanic peers, Hispanic business owners expressed notably greater concern around commodities prices (56% of Hispanic entrepreneurs vs. 43% of non-Hispanic), credit availability (50% of Hispanic vs. 36% of non-Hispanic) and climate change (45% vs. 34%)

 

For more information, please visit: www.bankofamerica.com/smallbusiness/

More About John Gomez
John has been with Bank of America for 8 years and has worked on Small Business since 2011. He has held multiple roles on the Small Business team, first as a Small Business Consultant Manager in Southern California, then as a Small Business Banker Manager in Texas, and was the Small Business Performance Manager prior to his current role. Before joining the Small Business team John was a Consumer Market Leader in South Orange County. Prior to joining Bank of America, John ran his own Small Business as a managing partner in the restaurant industry. He also held multiple sales and leadership roles at Wachovia and Chase.

 

In addition, John is part of the Small Business National Advisory Council and was previously on the Board of Directors for People’s Funds in Austin, Texas. He obtained his bachelor’s degree in Business Management from Cal State San Marcos. Outside of work he enjoys biking and spending time with his family.

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