Small-business owners' top worries:
health-care costs, taxes, tight labor
Bankrate.com

If you want to see a small-business owner get angry, ask him or her about health insurance costs. Then ask about taxes. Not running for your life yet? Ask about finding qualified workers.

A recent study by the National Federation of Independent Business's Education Foundation found that the cost of health insurance topped the list -- as it has since 1986 -- in its "Problems & Priorities" study of small businesses. Nearly half (47 percent) of the companies surveyed called health insurance costs a critical problem, the severest evaluation possible. Another 23 percent gave it the second-most severe assessment.

The study asked 4,044 small-business owners to rank 75 different problem areas' impact on their businesses.

Health care insurance cost again dominated the answers. Nearly half of the respondents named it as a critical problem for their companies.

Federal taxes continue to be the second-biggest problem for small firms, the study noted, with 29 percent of small businesses calling it a critical concern. The tax burden appeared in three of the top six positions on the survey. Social Security taxes took fifth place, and state taxes ranked sixth.

The tight labor market has made finding qualified workers the third-highest concern, the study found, with 31 percent of small businesses calling it a critical concern. Four years ago, this category has an 11th place ranking and in 1991, it ranked 20th.

The only other category to break into the top 10 in causing owners to fret is the cost of fuel, which spiked this year.

What are your top 10 business concerns?

-- Posted: Aug. 16, 2000