What’s changed? A new way to pitch the small plan Market.
Small businesses, those with 500 or fewer employees, are the backbone of the U.S. economy — making up 99.9 percent of all U.S. businesses.1 What’s happening among these employers could matter to your business.
The future looks bright for SMB owners
Right now, most business owners say they’re feeling very good about their future and for good reason. In a recent survey we conducted with owners of small- to medium-sized businesses, more than 8 in 10 rate their overall business as healthy or very healthy. Most expect the improvement to continue. And nearly three-quarters (72 percent) report they have surplus capital with more than half saving for future growth.2
Talent competition heating up
As the market gets stronger, almost seven in 7 in 10 (69 percent) business owners plan to hire this year.3 But it’s not just the number of employees within the businesses growing, it’s the entire market. There are more small businesses now than ever before.4 Growing businesses means a growing demand for employees. The talent competition is on and it’s heating up.
The market is ready – don’t miss it
With employers no longer struggling to find capital and a tightening job market, they’re looking for ways to recruit and retain top talent. Employers just might not know where to start. You can help by presenting retirement plans.
Our new small plan packages, Principal® Flex and Principal® Flex – Open, give you a flexible, yet simple option. Don’t worry. Just because it’s a small plan doesn’t mean small service for your clients. Our small plan packages offer investment options, participant services and features that larger organizations receive.
And we know from experience small employers often like extra guidance. That’s why we’ll be there every step of the way to assist them with plan rules and to provide options for improving participation and savings rates.
1. 2018 Small Business Profile, U.S. Small Business Administration Office of Advocacy, April 2018.
2. Principal Financial Well-Being Index: Business Owners, September 2017.
3. Heart + Hustle of U.S. Small Business Owners, Square, April 25, 2018.
4. 2018 Small Business Profile, U.S. Small Business Administration Office of Advocacy, April 2018.
For financial professional/institutional use only.
This document is not a recommendation and is not intended to be taken as a recommendation. This material was prepared for general distribution and is not directed to a specific individual.
Insurance products and plan administrative services provided through Principal Life Insurance Co., a member of the Principal Financial Group®, Des Moines, Iowa 50392
©2018 Principal Financial Services, Inc
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