As businesses head into the new year, the avoidance of the fiscal cliff and overall growth of the economy in the past few years has inspired a positive attitude. PwC, a tax advisory service, has found that U.S. family businesses in particular are expecting more growth than in the past, potentially spurring increased use of financial services, loan applications and application processing software.
PwC's Global Business Survey found that 93 percent of U.S. family businesses are planning for increased growth, compared to 81 percent of global family businesses. The survey, which has been recording results since 2007, found these results to be higher than any past year.
"We've noticed an attitudinal shift among many U.S. family businesses in the past two years," PwC's U.S. Family Offices Services leader Alfred Peguero said in a statement. "They've gone from warily eyeing their next big bet to actively seeking business growth opportunities. Companies recognize now more than ever the need to out-innovate their competitors and seek new avenues of growth in order to thrive in a fast-evolving business landscape."
In addition to more confidence regarding future opportunities, fewer family business leaders are worried about market conditions negatively affecting their profits compared to past years. Another major indicator of optimism is the increasing amount of businesses looking to expand to international markets – almost half this year stated they would sell abroad, compared to 30 percent two years ago.
Preparing for increasing optimism
Not only does this survey point to increased confidence within the U.S., but globally as well. For managing the loan origination process, support may be required to handle potential growth in loan applications.
By investing in related software, financial institutions can comfortably handle the growth in applications while also lending to qualified borrowers to stay solvent.
