August Small Business Revenue Declines
MOUNTAIN VIEW, Calif.–(BUSINESS WIRE)–
Intuit Inc. (Nasdaq:INTU) issued its monthly Small
Business Employment and Revenue Indexes today. Below are topline
results from each of the reports.
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Small Business Employment Index – September
U.S. small business employment remained flat in September, posting a
decline of 0.01 percent from the August figure.
Hourly employees worked an average of 109.9 hours in September, a
decline of 0.06 percent from last month’s figure, the equivalent of
Small business employees’ average monthly pay increased by 0.05
percent, bringing average monthly compensation to ,838, up from
Small Business Revenue Index – August
Revenue per small business decreased 0.3 percent across all industries
in August. That would translate to an annualized decline rate of 3.1
While revenues for Construction rose by 0.09 percent, Real Estate
Services saw the biggest revenue decline, 0.4 percent.
This index is based on data from QuickBooks
Online, covering the period from Aug. 1-30.
A Closer Look at Results
- The Small Business Employment Index
In September, net hiring for small businesses remained flat for the
second consecutive month. Employment for small business totaled 20.65
million nationally, up 155,000, or 0.8 percent, from a year ago. From
August 2014 to August 2015, total national payroll employment rose 2.1
“Despite the flat net hiring, the hiring rate, which reflects people
hired to replace leaving workers as well as new hires, continued at 5.25
percent per month, accounting for turnover in small business employees.
The hiring rate has risen steadily since mid-2009,” said Susan
Woodward the economist who works with Intuit to produce the indexes.
Half of the states that Intuit tracks saw employment rise. The highest
growth was in Texas, where small business employment grew at 2.1 percent
annualized. Similar to August’s Employment Index, small business hiring
continued to rise in Nevada, Arizona and Idaho. Most states saw a slight
drop in hours worked for hourly workers, but a slight rise in total
- Small Business Revenue Index
Reversing the higher-than-usual revenue growth reported in July, small
businesses saw a revenue decline in August. Revenues declined across all
industries by 0.3 percent, an annualized rate of 3.1 percent.
The Real Estate Services industry reported the biggest decline, with
revenue falling 0.4 percent, or 5.2 percent annualized.
“These figures reflect the National Association of Realtors estimate
that home sales fell by 4.8 percent on an annualized basis in August,”
Woodward said. “Over the history from 2004, the highest variation in
revenue change per month is for Real Estate Services.”
From August 2014 to August 2015, all industry groups saw a rise in
revenue – 1.4 percent overall – with Construction having the largest
increase of 4.1 percent.
About the Intuit Small Business Indexes
The Intuit Small Business Indexes provide unique, near real-time
information each month on the activity of the smallest businesses in the
U.S. in terms of revenue, hiring and compensation trends.
The Employment Index is based on anonymized, non-identifiable aggregated
data from 267,074 small business employers, a subset of users of Intuit
Online Payroll and QuickBooks
Online The Revenue Index is based on anonymized, non-identifiable
aggregated data from 240,000 small businesses, a subset of users of
Online with industry identification from Dun
Together, the indexes provide a more complete picture of the economic
health of the nation’s small businesses. More information on the Intuit
Small Business Indexes is available at index.intuit.com.
About Intuit Inc.
Inc. creates business and financial management solutions that
simplify the business of life for small businesses, consumers and
accounting professionals. Its flagship products and services include QuickBooks®
which make it easier to manage small businesses and tax preparation and
provides a fresh, easy and intelligent way for people to manage their
money while ProSeries®
are Intuit’s leading tax preparation offerings for professional
Founded in 1983, Intuit had revenue of .2 billion in its fiscal year
2015. The company has approximately 7,700 employees with major offices
in the United States, Canada, the United Kingdom, India and other
locations. More information can be found at www.intuit.com.
Source: Intuit Inc.