May Revenue Resumes Decline After April’s Upsurge
MOUNTAIN VIEW, Calif.–(BUSINESS WIRE)–
Intuit Inc. (Nasdaq:INTU) issued its monthly Small
Business Employment and Revenue Indexes. Below are topline results
from each of the reports.
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Small Business Employment Index – June
U.S. small businesses added 25,000 new jobs, making for more than
980,000 jobs added since March 2010 and a steady employment growth of
0.13 percent for the month.
Hourly employees worked an average of 108.8 hours, a decrease of 20
minutes from May’s revised figure.
Small business employees’ monthly pay decreased by 0.13 percent – the
equivalent of – with average monthly compensation reaching ,812.
These findings come from the monthly Intuit QuickBooks Small Business
Employment Index and are based on data from Intuit
Online Payroll and QuickBooks
Online Payroll, covering the period from May 24 – June 23.
Small Business Revenue Index – May
Revenue per small business declined 0.11 percent across all
industries. That translates to an annualized decrease of 1.3 percent.
The Real Estate, Rental and Leasing category showed the only increase
in monthly revenue, at 0.3 percent.
The Accommodation, Food Service and Drinking Places category posted
the largest revenue decline, falling 0.4 percent.
This index is based on data from QuickBooks
Online, covering the period from May 1-31.
A Closer Look at Results
- The Small Business Employment Index
Small business employment rose by 25,000 jobs in June, an increase of
0.13 percent, matching the gains seen in May. Although the hiring rate
fell slightly, it should not be regarded as a reversal of the upward
trend that began in June 2009.
Hourly employees worked an average of 20 minutes less and were paid
slightly more – just one cent – than in May, an increase of 0.06
percent. The number of hourly employees who work full time fell from
29.9 percent to 29.7 percent. Susan
Woodward, the economist who works with Intuit to produce the
Indexes, said this is the largest drop in the number of full-time
workers since 2005.
“Small business employment remains 500,000 below the peak of 21.2
million people employed by small businesses in March 2007,” said
Woodward. “Part of this continuing shortfall is because housing
construction has failed to return to pre-crisis or even normal levels.”
“A sign of stronger small business activity is the hiring rate, which
has been rising slowly but steadily since September 2009. The hiring
rate always exceeds the employment increase because hiring reflects
replacing workers who leave, as well as added workers,” Woodward said.
Small business hiring increased in nearly all the states tracked by
Intuit QuickBooks, with the largest gains in Idaho, Virginia, South
Carolina, Oregon, Montana and Alabama. Five states posted declines, with
the largest drops in Michigan, Utah and Massachusetts.
- Small Business Revenue Index
Revenues per business declined overall in May, following an increase in
April. The decrease for May was 0.11 percent, extending the 2014-2015
winter mini-recession and contributing to a total decline of 0.6 percent
since October 2014. Real Estate, Rental and Leasing businesses were the
only industry group to see revenue grow by 0.3 percent.
Despite the winter decline, small business revenues per business are 1.3
percent higher than a year ago. All industry groups have posted
increases over the last year, from 3 percent for businesses in
Construction, to 0.5 percent for Accommodation, Food Service and
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 approximately 255,695 small business employers, a subset of
users that use Intuit Online Payroll
Online Payroll. The Revenue Index is based on anonymized,
non-identifiable aggregated data from approximately 150,000 small
businesses, a subset of users that use Intuit’s QuickBooks
Online financial management offering
and are matched in Dun & Bradstreet’s
small business industry classifications.
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.
Intuit 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®, Quicken®
and TurboTax®, which make
it easier to manage small
businesses and payroll
finance, and tax
preparation and filing. Mint.com
provides a fresh, easy and intelligent way for people to manage their
money, while Demandforce®
offers marketing and communication tools for small businesses. ProSeries®
and Lacerte® are Intuit’s
leading tax preparation offerings for professional accountants.
Founded in 1983, Intuit had revenue of .5 billion in its fiscal year
2014. The company has approximately 8,000 employees with major offices
in the United States, Canada,
the United Kingdom, India and
Source: Intuit Inc.