Jay Sachetti joined Jeff O’Brien, partner at Husch Blackwell and Dyanne Ross-Hanson, president of Exit Planning Strategies talked about the market for mergers and acquisitions, exit planning opportunities for companies that don’t end up for sale and how companies can maximize their eventual sale price during an early October panel at the first Upsize on Tap event at Summit Brewing Co. in St. Paul.
When the state Legislature passed a law requiring employers to provide paid leave and safe time for employees, Justin Bieganek started hearing differing details from friends, colleagues and peers.
The age-old business question that business owners use to guide their actions: What’s everybody else doing? Sung Won Sohn answers with a new survey.
Sohn is chief economist for Wells Fargo in Minneapolis, which surveyed companies throughout the state late last year. It got more than 700 responses, 94 percent of which are located in the Twin Cities. The good news is that 80 percent of businesses surveyed expect revenue to stay the same or increase, an overall healthy outlook for sales and demand. The bad news is that these same businesses don’t plan to increase hiring or equipment purchases to meet the demand.
“Most businesses feel that better times are ahead. Yet the business mantra of the moment is to stay liquid and to stay flexible,” Sohn says. “Once business conditions improve, this caution should decrease.”
Twenty-eight percent said current business conditions are somewhat or much improved from a year ago, while 34 percent said conditions are the same. Thirty-nine percent said conditions are somewhat or much weaker.
Forty-eight percent believe overall demand for their goods or services in the next six months will stay the same, with 32 percent expecting increased demand and 21 percent expecting decreased demand.
If recovery is imminent, it will be jobless: 74 percent of those surveyed anticipate little change in hiring in the next six months, with only 11 percent planning strong hiring.
And 53 percent will keep equipment spending within their companies the same. 15 percent will make stronger investment, and 32 percent weaker investment.
Sung Won Sohn, Wells Fargo & Co.: 612.667.7498
