Small businesses this year saw net profit margins increase by the highest rate in seven years, according to a report generated by the Raleigh, NC-based financial information company Sageworks.
The report reflects activity exclusively among privately held companies with under $1 million in annual sales in more than 20 industry categories including real estate, construction, retail trade, scientific and technical services, healthcare, accommodation and food services, and manufacturing. Sageworks collects more than 1,000 financial statements daily from certified public accountants and banks nationwide. The company generated its report from this audited data.
According to the report, in the last 12 months profit margins of small companies were up 6.01 percent over the year-ago period. It marks the first period since 2005 that profit margins rose more than 6 percent. In 2004, profit margins among the group rose 6.65 percent, and in 2005 they rose 6.78 percent. Profit margin increases wereRead More »from Small biz profit margins at pre-recession rates, report says