Executive Summary
The May 2025 Sanibel Business Survey reveals a community showing remarkable resilience in recovery, with 60 local businesses participating. The average business health rating of 6.05 out of 10 reflects ongoing challenges, while 63% express optimism about future conditions improving for the next busy season.
Key Finding
While 29% of Sanibel businesses experienced revenue decline compared to last year, 42% saw revenue increase, with 63% expecting conditions to improve for the next busy season.
Hospitality and tourism businesses represent 31% of respondents, making it the largest sector. Small businesses with 0-10 employees comprise the majority of surveyed companies.
Key Survey Metrics
These four key metrics provide a snapshot of the current business climate on Sanibel Island, reflecting both the challenges and opportunities facing local enterprises.
Industry Composition
The survey captures a diverse business ecosystem that reflects Sanibel's unique character as a tourism and residential destination.
Business Sector Breakdown
| Industry | Businesses | Percentage |
|---|---|---|
| Hospitality, Tourism | 19 | 31.7% |
| Retail | 8 | 13.3% |
| Professional Services | 8 | 13.3% |
| Restaurant, Food & Beverage | 7 | 11.7% |
| Nonprofit | 6 | 10.0% |
| Real Estate, Development | 4 | 6.7% |
| Other | 4 | 6.7% |
| Finance | 3 | 5.0% |
| Construction | 1 | 1.7% |
Industry Insight
The survey captures a diverse business ecosystem dominated by hospitality/tourism (32%), professional services and restaurants (13% each). This diversity suggests economic resilience, though the heavy reliance on tourism-related sectors indicates vulnerability to seasonal factors.
Business Health Distribution
Businesses were asked to rate their current health on a scale of 1 (poor) to 10 (excellent). The distribution reveals a community at varied stages of recovery.
Health Rating Scale (1 = Poor, 10 = Excellent)
The distribution shows a business community at varied stages of recovery. While businesses rate their health across the full spectrum, the average of 6.05/10 indicates moderate recovery progress, though conditions remain uneven across different business sectors.
Revenue Performance vs Last Year
Understanding how businesses are performing compared to the previous year provides crucial insight into the pace of recovery.
Year-over-Year Revenue Change
| Revenue Status | Number of Businesses | Percentage |
|---|---|---|
| Revenue Increased | 25 | 42% |
| Revenue Flat | 18 | 30% |
| Down 1-25% | 10 | 17% |
| Down 26-50% | 4 | 7% |
| Down 51-75% | 3 | 5% |
Revenue Analysis
While 42% of businesses exceeded last year's revenue, 29% faced declines. The majority experiencing decline (17%) saw modest reductions of 1-25%, suggesting manageable challenges rather than catastrophic losses for most affected businesses.
Primary Business Concerns
Understanding the challenges businesses face helps identify where support and resources are most needed.
Top Concerns Reported by Businesses
| Concern | Businesses Reporting | Percentage |
|---|---|---|
| Reliable Revenue Stream | 38 | 63% |
| Overall Financial Stability | 21 | 35% |
| Adequate Staffing Levels | 14 | 23% |
| Physical Repairs | 11 | 18% |
| Access to Capital | 11 | 18% |
Reliable revenue stream remains the top concern at 63%, reflecting ongoing uncertainty in customer demand and seasonal fluctuations that are inherent to island tourism economies.
Critical Issues Analysis
- Reliable Revenue Stream (63%): The top concern reflects ongoing uncertainty in customer demand and seasonal fluctuations
- Overall Financial Stability (35%): More than one-third of businesses worry about their financial foundation
- Adequate Staffing (23%): The persistent labor shortage continues to impact operations
- Physical Repairs (18%): Ongoing infrastructure needs from past storms remain unaddressed
Future Outlook
Despite the challenges, Sanibel businesses remain largely optimistic about the future, a testament to the community's resilience.
Encouraging Sign
Despite ongoing challenges, 63% of Sanibel businesses expect conditions to improve for the next busy season, while only 8% expect decline. This optimism suggests confidence in the island's continued recovery trajectory.
Survey Methodology
Transparency in methodology ensures the reliability and credibility of our survey findings.
Survey Period: May 19-29, 2025
Total Responses: 60 Sanibel businesses
Geographic Focus: 100% Sanibel Island businesses
Methodology: Online survey distributed through the Sanibel & Captiva Islands Chamber of Commerce member network
Data Partner: Sanibel & Captiva Islands Chamber of Commerce