OCTOBER 2024 INDUSTRY NEWS AND TRENDS
Small businesses are “pressing pause” until the election
The latest survey from the NFIB (National Federation of Independent Businesses) reveals that small business owners are hesitant about growth and expansion, with expectations for future sales set low. Businesses are raising prices, capital outlays and planned purchases have decreased, and inflation and labor quality are top concerns. Few owners believe it’s a good time to expand, and most are not interested in taking out loans at this time.
Corporate bankruptcy is on the rise
A new report from Cornerstone Research indicates a sharp turn upward for large corporate bankruptcies. More than 100 Chapter 11 and Chapter 7 bankruptcies were filed during the 12 months ending June 30, an increase of 8% over the previous year. According to the filings, some of the most common causes were rising costs, lingering COVID-19 effects, competition, and unsuccessful strategies.
The importance of cash flow forecasting
No one can predict what the coming months will bring, but cash flow forecasting is an important tool to help navigate a strong economy and an uncertain one. In this article, a Gartner finance specialist lays out three best practices for accurate forecasting, including realistically assessing product volumes, pricing, and costs, performing an in-depth analysis of cash performance by business unit, and making bolder decisions regarding current and planned investments.
