Small business owners have felt the pinch of a tightened economy in the last six months, reports the 2008 American Express OPEN Spring Monitor.

"Like most Americans, SBOs are concerned about the uncertain economy," says Susan Sobbot, president of American Express OPEN. "However … they remain focused on opportunities for the future and growing their business."

The survey found that 65% of bosses agree that it is important to offer health care coverage, but only 66% actually do so, down from 71% in the fall of 2007.

In addition, 71% of small business owners report being worried about the ability to save for the retirement that they want, up from 67% in spring 2007, the survey shows. More women business owners, however, are concerned about saving for retirement than their male counterparts, 75% versus 67%.

Health and wellness issues are also on the minds of small business owners. Seventy one percent of small business owners say they take their health for granted, while nine out of 10 say that they struggle to maintain work/life balance, with 20% indicating that their health/fitness suffers most.

Despite poor economic conditions, one-third of small business owners plan to hire full-time or part-time staff in the next six months. This remains on par with the last two surveys. Seven out of 10 plan to grow their business in the next six months, about equal to the 75% that said so in the spring of 2007.

However, four in 10 plan to cut back on staff (41%), up sharply from spring 2007 when only 27% planned to scale back.

Meanwhile, 56% percent of respondents report cash flow issues, and many are feeling the pinch as energy and gas costs skyrocket. Six in 10, for example, report that higher energy and gas prices have had a significant impact on business. As a result, one-third of businesses have raised prices, up from one-quarter in 2007.

The survey, conducted every spring and fall since 2002, is based on a national sample of 627 small business owners in companies with fewer than 100 employees.