Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Kiwi businesses confirm growth predictions

April 11, 2014

Global Entrepreneur Indicator Survey: Kiwi businesses confirm growth predictions

Predictions six months ago of big things for the New Zealand economy have been borne out by business results according to an international survey of entrepreneurs.

The Global Entrepreneur Indicator published this month (Apr. 2014) for the six month period to 31 March shows more Kiwi entrepreneurial businesses have increased both their profits and revenues than the global average.

The survey also shows our entrepreneurs are more positive about our country’s economic environment with 95 per cent predicting improvement in the next six months compared with only 48 per cent globally.

The indicator is generated from a survey of every chapter of the world-wide Entrepreneurs’ Organization (EO) including its New Zealand chapter.

Tony Falkenstein, the communications chair of the NZ Entrepreneurs’ Organization, says the survey results confirm predictions six months ago of a marked improvement in New Zealand’s trading conditions.

“Compared to entrepreneurs worldwide, more of our businesses are profitable, more have increased part time staff, more have grown their revenues and more have increased their access to capital,” Falkenstein says.

“That confirms the confidence predicted by New Zealand entrepreneurs in our previous survey six months ago. Even better, that confidence is continuing with local businesses predicting more good things to come in 2014.”

The survey shows Kiwi entrepreneurs expect to grow both full time and part time staff numbers and continue to improve their profits above average.

Falkenstein says debt loads are expected to decrease although growth in that area during the past six months indicates an inclination to borrow for working capital “which is a good thing”.

“Forty-three per cent of our businesses have also increased their access to capital in the past six months and New Zealand entrepreneurs also expect that demand for funds to continue this year.”

He says 97 per cent expect revenue growth in the next period compared to only 83 per cent of global entrepreneurs. Mirroring results from the previous six months survey, more than 90 per cent of New Zealand entrepreneurs have “a proclivity” to start a new business in the current year.

“The Global Entrepreneur Indicator reflects the positive attitude of New Zealand entrepreneurs and this reinforces the results from last year’s survey. It’s all good news because it is entrepreneurs - more than any other business sector - who create growth in the NZ economy.”

Full Global Entrepreneur Indicator results below:

Chapter Data Report: EO New Zealand

Survey period: March 2014

Change in number of full-time employees during past six months:

Global ResultsEO New Zealand Results
Increased55.43%54.05%
Decreased11.02%10.81%
Stayed the
same
33.55%35.14%

Predicted change in number of full-time employees during coming six months:

Global ResultsEO New Zealand Results
Increase67.34%86.49%
Decrease3.61%2.70%
Stay the same29.06%10.81%

Change in number of part-time or contract employees during past six months:

Global ResultsEO New Zealand Results
Increased47.65%59.46%
Decreased5.98%8.11%
Stayed the same46.37%32.43%

Predicted change in number of part-time or contract employees during coming six months:

Global ResultsEO New Zealand Results
Increase54.16%70.27%
Decrease3.97%0.00%
Stay the same41.87%29.73%

Change in net profit during past six months:

Global ResultsEO New
Zealand
Results
Increased61.18%78.38%
Decreased15.69%5.41%
Stayed the same23.13%16.22%

Predicated change in net profit during coming six months:

Global ResultsEO New
Zealand
Results
Increase80.86%88.57%
Decrease3.70%2.86%
Stay the same15.45%8.57%

Change in debt load during past six months:

Global ResultsEO New
Zealand
Results
Increased16.13%18.92%
Decreased26.23%24.32%
Stayed the same57.65%56.76%


Predicted change in debt load during the coming six months:

Global ResultsEO New Zealand
Results
Increase11.29%10.81%
Decrease30.57%24.32%
Stay the same58.14%64.86%

Change in your business’s access to capital during past six months:

Global ResultsEO New
Zealand
Results
Increased33.47%43.24%
Decreased5.91%8.11%
Stayed the same60.62%48.65%


Predicted change in your business’s access to capital during coming six months:

Global ResultsEO New
Zealand
Results
Increase40.85%45.95%
Decrease2.05%2.70%
Stay the same57.10%51.35%

Change in your business’s revenue during past six months:

Global ResultsEO New Zealand Results
Increased68.06%72.97%
Decreased10.54%2.70%
Stayed the
same
21.40%24.32%

Predicted change in your business’s revenue during the coming six months:

Global ResultsEO New Zealand Results
Increased83.34%97.30%
Decreased2.93%2.70%
Stayed the
same
13.73%0.00%

Predicted change in your country’s economic environment during coming six months:

Global ResultsEO New
Zealand
Results
Improve47.88%94.74%
Deteriorate11.83%2.63%
Stay the same40.29%2.63%

Current proclivity to start a new business:

Global ResultsEO New
Zealand Results
Would start a new business84.42%91.67%

About Entrepreneurs Organisation NZ
Entrepreneurs Organisation NZ is the catalyst that enables entrepreneurs to learn and grow from each other, leading to greater business success and an enriched personal life. EO NZ was founded in 1998 and is a chapter of a US-based Entrepreneurs Organisation, a dynamic global network of more than 9,500 business owners in 42 countries. There are 50 members of the New Zealand chapter with an average age of 46 employing more than 1,600 staff representing industries from accounting through to waste management. Globally, if EO were a country it would be in the top 25 nations ranked by GDP. Membership in one of EO’s 120 chapters is by invitation only. Find out more at www.eoauckland.org

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Budget Policy Statement: Spending Wins Over Tax Cuts; Big Ticket Items Get Boost

Income tax cuts are on hold as the government says “responding to the earthquakes and reducing debt are currently of higher priority”, although election year tax sweeteners remain possible. More>>

ALSO:

Fishy: Is Whitebaiting Sustainable?

The whitebait fry - considered a delicacy by many - are the juveniles of five species of galaxiid, four of which are considered threatened or declining. The SMC asked freshwater experts for their views on the sustainability of the whitebait fishery and whether we're doing enough to monitor the five species of galaxiid that make up whitebait. More>>

ALSO:

Crown Accounts: Smaller-Than-Expected Four-Month Deficit

The New Zealand government's accounts recorded a smaller-than-forecast deficit in the first four months of the fiscal year on a higher-than-expected inflow of corporate and goods and services tax. More>>

ALSO:

On For Christmas: KiwiRail Ferries Back In Full Operation After Quake

KiwiRail’s Interislander ferries are back in full operation for the first time since the Kaikoura earthquake, with the railspan that allows rail wagons to be loaded on the Aratere now restored. More>>

ALSO:

Comerce Commission Investigation: Prosecutions Over Steel Mesh Labelling

Steel & Tube Holdings, along with two other companies, will be prosecuted by the Commerce Commission following the regulator's investigation into seismic steel mesh, while Fletcher Building's steel division has been given a warning. More>>

ALSO:

Wine: 20% Of Marlborough Storage Tanks Damaged By Quake

An estimated 20 percent of wine storage tanks in the Marlborough region, the country’s largest wine producing area, have been damaged by the impact of the recent Kaikoura earthquake. More>>

ALSO:

ACC: Levy Recommendations For 2017 – 2019 Period

• For car owners, a 13% reduction in the average Motor Vehicle levy • For businesses, a 10% reduction in the average Work levy, and changes to workplace safety incentive products • For employees, due to an increase in claims volumes and costs, a 3% increase in the Earners’ levy. More>>

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news