An Atlanta Fed analysis of results from the Small Business Credit Survey show
a steady recovery in the Southeast from the COVID-19 pandemic-induced
recession.
Small businesses in the Southeast continue to post a steady recovery from the
depth of the COVID-19 pandemic-induced recession, according to an Atlanta Fed
analysis of a nationwide survey’s results.
The Southeast outpaced the national outlook on indicators including future
employment and revenue expectation for the 12-month period following the
survey conducted in fall 2022. The Southeast was generally consistent with
national averages on the proportion of firms that face financial challenges
and the nature of those concerns, the analysis shows.
The report, “Small Business Credit Survey 2022: Key Insights from the
Southeast,” focuses on Alabama, Florida, Georgia, and parts of Louisiana and
Tennessee. It omits the Sixth District’s portion of Mississippi because of an
insufficient number of survey responses.
The Southeast analysis gleans economic details from the national Small Business Credit Survey, a collaboration of the 12 Federal Reserve Banks and
their partners. The national report received 7,864 respondents from businesses
that employ fewer than 500 employees, excluding nonemployers.
The national results show small businesses citing postpandemic improvements
even as they face challenges including higher inflation and interest rates.
The report in the Atlanta Fed’s Partners Update notes that “firms’
self-reported financial condition remains little-changed from 2021” and 94
percent of firms reported operational and financial challenges. Firms cited
their return to traditional financing as the government wound down pandemic
loan programs.
Signs of apprehension about the future economy appear in the national report’s
category of access to capital. For example, the positive indicator of rising
rates of fully approved applications for loans, lines of…
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