Study: Only 4 in 10 Small Businesses Seek Financial Advisors

Seventy-six percent of respondents cite rising healthcare costs as a top concern, followed by making a profit (74%), the state of the economy (72%) and addressing the financial needs of their families (66%). Other top concerns include building wealth (58%), developing a personal retirement plan (53%) and preparing a business exit strategy (38%).

Almost a third (32%) of SBOs have never used an advisor and 17% are not currently using one, the report discloses. SBOs who are using an advisor do so for personal planning needs only (19%), business needs only (5%) and business/personal needs (27%).

Just over one in 10 (11%) of SBOs who are using an advisor say they plan to stop, but the same percentage say they used one in the past and plan to start again. A greater percentage of respondents (31%) than is the case currently (27%) say they plan to use an advisor to address business and personal needs.

Nearly half (48%) of SBOs say they obtain life insurance through an advisor as compared 34% through their own efforts. But just 38% say they develop a personal retirement through an advisor, a smaller percentage than those who say they do so through their own efforts (44%).