Business leaders show greater optimism, survey says

According to the 2012 Chase Middle Market Business Leaders Outlook released this morning, expectations for the U.S. economy are improving. Nearly half of the 1,000 U.S. companies responding to the survey, 49%, say they’re optimistic about that nation’s economic prospects in the year ahead. That’s up from 39% who expressed optimism in last year’s survey. “The mood out there has shifted,” says Chase Commercial Banking CEO Doug Petno. “Business leaders are more optimistic about the economic outlook than they were a year ago. And they’re even more optimistic when it comes to their own company’s future.” Nearly four of five business leaders, 79%, say they’re optimistic about their company’s performance in 2012, and 55% say they expect to add employees this year. Only 4% say they’re likely to trim their payroll. Wages appear to be increasing as well, with 63% of respondents projecting at least a modest increase in their workers’ wages this year. Regulatory issues remain a source of concern among business leaders, with 66% saying the regulatory climate makes it more difficult to add workers. That’s flat compared to last year’s survey. Also in the survey:
• 76% say they expect revenue growth in the next 12 months, while 67% expect higher profits;
• 75% anticipate a need for financing, specifically for equipment, working capital, acquisitions, facilities and software;
• 59% say they have confidence in their local economy.