Small Business Owners Turn to Credit Unions for Financial Support
Small business owners across the country are facing increasing concerns about their financial future, with challenges such as high inflation, rising interest rates, and difficulties in hiring and retaining employees. The National Federation of Independent Business reports a declining trend in small business optimism, with index readings consistently below the 49-year average.
A recent survey conducted by America’s Credit Unions National Voter Poll sheds light on the financial struggles faced by business-owner households. Only 45% of respondents stated that their income is keeping up with the rising costs of essentials like gas, groceries, and housing. Many business-owner households are turning to alternative financial services providers to meet their obligations, indicating financial strain.
Despite these challenges, the survey revealed that business-owner households who are members of credit unions have a more positive outlook. They view credit unions more favorably than for-profit banks and other financial providers, citing consultative approaches, business-friendly pricing, personalized financial education, and a sense of trust as key factors.
Credit union members are more likely to have established a financial buffer to handle unexpected expenses, indicating better financial health and preparedness. They also report higher levels of satisfaction with the services and advice received from credit unions compared to nonmembers.
Overall, the survey highlights the important role credit unions play in supporting small business owners during economic uncertainties. By providing personalized financial guidance, affordable services, and a sense of trust, credit unions are helping business-owner households navigate financial challenges and improve their overall financial health.