Washington, D.C., May 23, 2023 – A new survey released today by TD Bank, America’s Most Convenient Bank®, found that despite ongoing market and macroeconomic volatility, an impressive 90% of Washington, D.C., metro (DMV) small business owners anticipate meeting or exceeding their business goals this year. This is as much as 11 percentage points higher than in other East Coast metro areas surveyed (New York City, Philadelphia and Miami/Fort Lauderdale). This optimism stems from 2022 results, when the majority of (87%) respondents across the DMV area met or exceeded their revenue goals.
Business Owners Plan for Growth in 2023
Along with their bullish outlook, roughly four out of five (81%) business owners anticipate that their revenue/sales and/or number of employees will increase in the next 12 months. When asked to rank their top three priorities for 2023, business owners cited attracting new customers, expanding products/services and creating a business succession plan.
Supporting these ambitions will take financing. More than half of business owners (52%) reported they will seek credit in the next 12 months.
“Local small business owners continue to show entrepreneurial spirit, which is driving them to consider longer-term success despite instability in the current marketplace," said Terry Kenny, Commercial Market President of D.C., Maryland and Virginia, TD Bank. “It is encouraging to see this determination of small businesses following a successful 2022.”
Local Economic Challenges Remain a Concern
Although local business sentiment is primarily positive, DMV small business owners expressed concerns about the obstacles posed by the current macroeconomic environment. According to respondents, the top three challenges related to operating their businesses in 2023 are: increasing costs of supplies/materials/equipment, local/regional economic uncertainty and rising rates/inflation.
To offset these challenges, small business owners are closely managing cash flow by implementing automated processes and payments, changing their receivables terms to shorten payment times, and adding a service charge or fee to customer bills/invoices.
"Small business owners continue to make strategic moves to ensure they can withstand future economic volatility," Kenny said. "Following lessons from the pandemic, enterprises are looking to ensure they have sufficient cash on hand and access to credit to operate now and build for the future."
This CARAVAN survey was conducted by Big Village among a sample of 250 business owners in the Washington, DC Metro area with fewer than 100 employees and a 2022 revenue of $250,000 to less than $10 million. The survey was fielded Jan. 31 – Feb. 20, 2023.
About TD Bank, America's Most Convenient Bank®
TD Bank, America's Most Convenient Bank, is one of the 10 largest banks in the U.S., providing over 9.9 million customers with a full range of retail, small business and commercial banking products and services at more than 1,100 convenient locations throughout the Northeast, Mid-Atlantic, Metro D.C., the Carolinas and Florida. In addition, TD Auto Finance, a division of TD Bank, N.A., offers vehicle financing and dealer commercial services. TD Bank and its subsidiaries also offer customized private banking and wealth management services through TD Wealth®. TD Bank is headquartered in Cherry Hill, N.J. To learn more, visit www.td.com/us. Find TD Bank on Facebook at www.facebook.com/TDBank and on Twitter at www.twitter.com/TDBank_US and www.twitter.com/TDNews_US.
TD Bank, America's Most Convenient Bank, is a member of TD Bank Group and a subsidiary of The Toronto-Dominion Bank of Toronto, Canada, a top 10 financial services company in North America. The Toronto-Dominion Bank trades on the New York and Toronto stock exchanges under the ticker symbol "TD". To learn more, visit www.td.com/us.
About Big Village
Big Village, formerly ENGINE, is a global, full-service media and marketing services company that empowers clients to outperform in the present and win in the future with its vast range of marketing solutions including insights, creative, media, data, and technology. Founded in 2005, Big Village has global headquarters in New York and 16 offices across North America, the UK, Europe, and Asia-Pacific. Find out more at big-village.com and follow @wearebigvillage.
Martha A. Gaston, APR
TD Bank, VP, Senior Corporate Communications Manager