Seven in Ten (68%) Small Business Owners Plan to Make Some Form of Investment in Their Business Within the Next Two Years; New Equipment (35%) Top Planned Investment

Toronto, ON - Seven in ten (68%) small business owners in Canada plan to make some type of business investment within the next two years, according to a new poll by Ipsos Reid conducted on behalf of RBC. One-third (32%) of Canadians small business owners, however, say they don't plan on making any such investments in two years time. The top investment many small business owners see themselves investing in within the next two years is new equipment (35%), followed by new technology (29%) and new products and services (27%). The table below fully outlines what investments Canadian small business owners plan to make within the next two years:

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Looking ahead to the next year, some small business owners believe that their business will be able to add new part-time or full-time employees. Three in ten (29%) small business owners are `confident' (8% very/21% somewhat) that their business will add new staff in the next year. Seven in ten (71%) small business owners, however, are `not confident' (46% not at all/26% not very) that they'll make such additions within the next year.

• Experienced business owners (37%) are more likely to say they are confident they'll hire more employees in the next year than those who are first-time business owners (25%)

When it comes to previously having invested in their business within the last two years, slightly more say they've invested in the last two years compared to those who've committed to investing in the next two years. Seven in ten (71%) small business owners say they've invested in their business in the previous two years, while three in ten (29%) say they made no such investments. New equipment (43%), technology (31%), and products and services (27%) were the top three investments over the past two years, falling in line with what many small business owners plan on investing in within the next two years. The only investment increases from the past two years to the next two years are seen in human capital as hiring new employees (+5 pts.) and employee training (+2 pts.) are the only resources planned for increased investment. The following chart outlines in full how many small business owners invested in certain resources over the past two years compared with those who plan on investing in such resources in the future:

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These are some of the findings of an Ipsos Reid poll conducted between August 9th to 20th, 2012, on behalf of RBC for their 2012 Small Business Survey. For this survey, a sample of 1,004 Canadians from Ipsos' Canadian online panel was interviewed online. Weighting was then employed to balance demographics to ensure that the sample's composition reflects that of the adult population according to Census data and to provide results intended to approximate the sample universe. In this case, the poll is accurate to +/- 3.5 percentage points of all Canadians the general population. All sample surveys and polls may be subject to other sources of error, including, but not limited to coverage error, and measurement error. For more information on credibility intervals, please visit the Ipsos website at http://ipsos-na.com/dl/pdf/research/public-affairs/IpsosPA_CredibilityIntervals.pdf

For more information on this news release, please contact:

Sean Simpson
Associate Vice President
Ipsos Reid Public Affairs
416.572.4474
[email protected]

About Ipsos Reid

Ipsos Reid is Canada's market intelligence leader, the country's leading provider of public opinion research, and research partner for loyalty and forecasting and modelling insights. With operations in eight cities, Ipsos Reid employs more than 600 research professionals and support staff in Canada. The company has the biggest network of telephone call centres in the country, as well as the largest pre-recruited household and online panels. Ipsos Reid's marketing research and public affairs practices offer the premier suite of research vehicles in Canada, all of which provide clients with actionable and relevant information. Staffed with seasoned research consultants with extensive industry-specific backgrounds, Ipsos Reid offers syndicated information or custom solutions across key sectors of the Canadian economy, including consumer packaged goods, financial services, automotive, retail, and technology & telecommunications. Ipsos Reid is an Ipsos company, a leading global survey-based market research group.

To learn more, please visit www.ipsos.ca.

About Ipsos

Ipsos is an independent market research company controlled and managed by research professionals. Founded in France in 1975, Ipsos has grown into a worldwide research group with a strong presence in all key markets. In October 2011 Ipsos completed the acquisition of Synovate. The combination forms the world's third largest market research company.

With offices in 84 countries, Ipsos delivers insightful expertise across six research specializations: advertising, customer loyalty, marketing, media, public affairs research, and survey management.

Ipsos researchers assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media and they measure public opinion around the globe.

Ipsos has been listed on the Paris Stock Exchange since 1999 and generated global revenues of e1,363 billion (1.897 billion USD) in 2011.

Visit www.ipsos-na.com to learn more about Ipsos' offerings and capabilities.