Newtek Releases Annual Survey on Small Business Hiring Plans

The Small Business Authority Finds Majority of Business Owners Not Hiring in Near Future

PR Newswire

NEW YORK, April 30, 2013 /PRNewswire/ -- Newtek Business Services, NASDAQ: NEWT, The Small Business Authority®, with a portfolio of over 100,000 business accounts, announced today the findings of its SB Authority Market Sentiment Survey, a monthly window into the concerns of independent business owners. Based on a poll of over 2,600 respondents, one of the key findings from the April survey is 70% of business owners do not plan on hiring in the next 6 to 12 months. Of those polled 49% hire employees who have recently graduated from college, while 51% do not. Additionally, 39% of business owners believe the unemployment rate will be lower by the end of the year, with 37% believing it will remain the same and 24% believing it will be higher.

The full April 2013 results showed the following:

Poll Question

Poll Answer

2013 Percentage

2012 Percentage

     

Do you plan on hiring in

the next 6 to 12 months?

Yes

30%

33%

No

70%

67%

  

Does your company hire

employees who have just

graduated from college?

Yes

49%

42%

No

51%

58%

   

Do you think the

unemployment rate will be

higher, lower or the same

by the end of the year?

Higher

24%

26%

Lower

39%

40%

Same

37%

34%

Barry Sloane, Chairman, President and CEO of The Small Business Authority® commented, "As seen in the 2012 and 2013 survey results above, despite the recent presidential election and reelection of President Obama and the stock market closing at all-time highs, small business owners have almost identical feelings towards hiring and unemployment as they did this time last year. These results tell us that there has been practically no increase in enthusiasm, confidence or optimism in the small business market. This is not good news for the economy or for the hopes of increased tax revenues and a decreased deficit. Clearly it will take an increase in economic activity and hiring to decrease the deficit and grow the economy."

About Newtek Business Services, Inc.

Newtek Business Services, The Small Business Authority®, provides the following products and services:

  • Newtek Advantage: Mobile real-time operating platform for business intelligence. The Newtek Advantage™ puts all critical business transactions in real-time. Access data on your smartphone, tablet, laptop or PC as it relates to eCommerce for credit/ debit transactions, website statistics, payroll, insurance and business loans.
  • Electronic Payment Processing: eCommerce, electronic solutions to accept non-cash payments, including credit and debit cards, check conversion, remote deposit capture, ACH processing, and electronic gift and loyalty card programs.
  • Managed Technology Solutions (Cloud Computing): Full-service web host, which offers eCommerce solutions, shared and dedicated web hosting and related services including domain registration and online shopping cart tools.
  • eCommerce:  A suite of services that enable small businesses to get up and running on-line quickly and cost effectively, with integrated web design, payment processing and shopping cart services.
  • Business Lending: Broad array of lending products including SBA 7(a) and SBA 504 loans through our lending subsidiary, Newtek Small Business Finance, Inc.    
  • Insurance Services: Commercial and personal lines of insurance, including health and employee benefits in all 50 states, working with over 40 insurance carriers.
  • Web Services: Customized web design and development services.
  • Data Backup, Storage and Retrieval: Fast, secure, off-site data backup, storage and retrieval designed to meet the specific regulatory and compliance needs of any business.
  • Accounts Receivable Financing: Receivable purchasing and financing services.
  • Payroll: Complete payroll management and processing services. 

Newtek Business Services, Inc., The Small Business Authority®, is a direct distributor of a wide range of business services and financial products to the small- and medium-sized business market under the Newtek brand. Since 1999, Newtek has helped small- and medium-sized business owners realize their potential by providing them with the essential tools needed to manage and grow their businesses and to compete effectively in today's marketplace. Newtek provides its services to over 100,000 business accounts and has positioned the Newtek brand as a one-stop-shop provider of such business services. According to the U.S. Small Business Administration, there are over 27.5 million small businesses in the United States, which in total represent 99.7% of all employer firms.

Note Regarding Forward Looking Statements

Statements in this press release including statements regarding Newtek's beliefs, expectations, intentions or strategies for the future, may be "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the plans, intentions and expectations reflected in or suggested by the forward-looking statements. Such risks and uncertainties include, among others, intensified competition, operating problems and their impact on revenues and profit margins, anticipated future business strategies and financial performance, anticipated future number of customers, business prospects, legislative developments and similar matters. Risk factors, cautionary statements and other conditions, which could cause Newtek's actual results to differ from management's current expectations, are contained in Newtek's filings with the Securities and Exchange Commission and available through http://www.sec.gov.

Newtek Business Services, Inc.
http://www.thesba.com
Investor Relations
Contact: Jayne Cavuoto
Telephone: (212) 273-8179 / jcavuoto@thesba.com
Contact: Brett Maas
Telephone: (646) 536-7331 / brett@haydenir.com
Rubenstein Public Relations
Contact: Jonathan Goldberg
Telephone: (212) 843-9335 / jgoldberg@rubensteinpr.com  

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