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Duncan Banfield, consultant at Greenwich Associates, with a new survey that found small businesses are not interested in borrowing.
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As businesses to get credit had means.
This this is are not biting but why here with Greenwich Associates latest survey is firm vice president Duncan Banfield.
Duncan thanks for joining us with the results of the survey what was most surprising.
We'll probably most surprising -- was just the fact that does credit is actually out there and banks themselves have been almost falling over themselves.
To lend to strong middle market and small businesses.
We've been hearing from small businesses really for years since the financial crisis really that there's so much uncertainty out there about where the economy's going.
And more recently with the political climate is going to look like that they're holding back is that.
They continue to be his story and then you can add regulations higher regulatory tightening well into that into that -- well.
What we call sort of the what now affect whether these stories about the health care reform act whether -- debt crisis the incoming.
Fiscal cliff or even now European crises all these things have played in the mine in the psyches of small businesses and has really contribute to their hesitancy.
Tomorrow at this time they just don't think -- need credit at this time to expand.
Right it's just -- a pile -- of bad news so.
What do you think business needs to get confident start borrowing money and against the backdrop right of our big -- today that jobs picture start hiring.
Sir -- sure -- I think really it's a string of good news -- so I think you know a consistent story where we're seeing.
The job number momentum I continue where we're seeing economic activity picked up even if it's in a few sectors to begin with but that will sort of build upon itself.
So there's a teen -- bank's survey that found 70% of respondents don't plan to hire one single person respondents business owners.
In the coming months despite 35% of -- feeling they are understaffed.
So -- better jobs report today if you just look at the payrolls numbers but.
It's really it's it's troubling and no one is confidently say looking for good news I mean do you see that happening any time -- -- before the election of the fiscal -- Now in fact we actually saw some optimism at the very beginning of 2012 and our research.
About what we found recently is again this just degree of hesitancy -- even those businesses are short staffed.
They've cut their operations absolutely to the bone at this point.
They're just waiting to see -- in this -- between the election again the fiscal -- coming either just not ready to get back out -- it is with their expectations of what's coming down the line.
And let's talk about the banks and interest rates everybody's buzzing about whether or not the Fed's going to act again with another round of money printing just to put it simply.
Yet it's almost.
Is it let me put the question -- -- is that actually a good thing for business because its business knows that rates are gonna stay low for a long period of time they have no motivation to act now is that a fair theory.
I think it's fair -- just a question is how competitive will banks being -- maybe I'm what we see is a lot of banks competing very heavily now -- terms of service that they can offer.
So rates are sort of the great equalizer in the marketplace right now.
Those banks are truly differentiate in terms of the services that they can offer our research shows will be those that a lot of companies to again most best assets -- credit.
I sent him -- check in with you -- next nerve agent Banfield thanks lot.
Thank you.
So coming up tonight on Monday we have Austan Goolsbee professor of economics.
The university of Chicago's Booth school of business he's -- join me to discuss the jobs number that's tonight at 5 PM eastern.
Right here on Fox Business the gap is -- -- with you that will be lively well I think we didn't want to set it up like that but but you know now you know that Isaiah and a former member isn't at all ancient thinking.
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