At a time when many of the nation's largest companies are struggling to survive, a growing number of small businesses are also feeling the stress that comes from making and saving money in a tough economy, according to the results of a new survey conducted by Harris Interactive for ING DIRECT's ShareBuilder 401k.

The new survey, completed by more than 500 small business owners across the U.S., reveals that:

- 63 percent say are either very- or extremely-concerned about the future of the economy

- 57 percent see developing new business as their number-one challenge through the remainder of the year and "access to cash" ranked number-two at 18 percent

- 56 percent are now saving less money for personal and 53 percent are saving less for retirement savings compared to a year ago

- 40 percent see the current financial state of their business as worse than a year ago

"A lot of small businesses are struggling to cover their monthly expenses and still have something left to put into savings," said Stuart Robertson, general manager of ShareBuilder 401k. "Before this down economy set-in, the number of small businesses making regular contributions to their savings plan was actually on the rise. Today we're beginning to see a step backwards."

For many small business owners, that step backwards has come in the form of smaller and/or less frequent contributions to their own 401(k)s with 11 percent also reducing or eliminating matches for their employees. For 16 percent, it has meant taking premature withdrawals or borrowing from their retirement accounts.

"Raiding your retirement should always be a last resort," said Robertson. "But, given the tough access to cash and credit - a growing concern of 23 percent of survey respondents - some small business owners have made that difficult choice."

In 2007, the number of small business owners with some sort of retirement plan was at 35 percent. In 2008, the number has dropped to 26 percent. Of the remaining 74 percent of businesses operating without a retirement plan, 45 percent say they are now less-likely to start a 401(k) plan compared to a year ago.

The report also found that nearly six out of 10 small business owners feel there are not enough incentives in place to help them start a 401(k). Many may not be aware that in addition to the tax-deferred savings that come from most retirement programs, small businesses starting a 401(k) plan can also receive annual tax credits of $500 for each of the first three years after they enroll.