Small Business Optimism Breaks Record Highs!
HEY SMALL BUSINESS OWNER,
Have you been feeling especially optimistic lately? Feeling some extra pep in your step? Does the future of your business look all sunshine and rainbows? Guess what—you’re not the only one!
In fact, according to the National Federation of Independent Businesses (NFIB), small business optimism nationwide has risen to the second highest level ever—that is, in the 45-year period since the index’s creation in 1973!
TLDR: Small business optimism is reaching record highs. Are you doing everything you can to capitalize on the good times?
What Index?
The Small Business Optimism Index! It’s a census created by the NFIB to analyze the mindset of small business owners in the US through measuring their expectations for the future of their businesses, and their satisfaction with the small business economy.
In May, the index rose by 3 points up to 107.8—the highest recorded score in 30 years, and the second highest recorded score in history. But that’s not all…
All-Time Record Highs!
Other measured aspects of small business optimism hit all-time record highs, including:
- 35% Net Compensation
- 3% Net Positive Earnings
- Highest Sales Trends Since 1995
- Strongest Recorded Plans for Expansion in HISTORY
Why?
“Main Street optimism is on a stratospheric trajectory,” says Juanita Duggan, NFIB President and CEO, “thanks to recent tax cuts and regulatory changes. For years, owners have continuously signaled that when taxes and regulations ease, earnings and employee compensation increase.” (https://www.nfib.com/surveys/small-business-economic-trends/)
It’s true! The Business Optimism Index has been showing small business owner satisfaction and growth rising with unprecedented speed over the last 18 months… That’s just about the time Trump’s new Tax Cuts and Jobs Act came out, which placed heavy emphasis on deregulation and tax breaks for small business owners. This has given small business owners the breathing room they’ve needed in order to grow for some time now.
NOW Is the Time to Grow!
So now that we all agree that it’s a great time to be alive for small business owners, what are you gonna do about it? You could sit back and smile at how great everything is, or you can grab these good times by the horns and take advantage of it!
C’mon! Everyone’s doing it. Check out these stats:
- 15% Reported High Sales Trends (Up 7 Points)
- 18% Planning to Create New Jobs
- 35% Reported Increases in Labor Compensation
- 19% of Small Business Owners Planning Price Increases (Highest Since 2008)
- 29% Have Open Positions for Skilled Workers, and 12% for Unskilled (Highest Since 2000)
- 47% Reported Spending on New Equipment
- 24% Reported Getting New Vehicles
- 16% Improving and Expanding Facilities
Interesting, right? But there’s more! National Business Capital and Services recently conducted its own survey and discovered more growth statistics that should grab the attention of small business owners.
What Does National’s Small Business Confidence Index Say?
Dubbed the Business Confidence Index, National’s survey polled six industries regarding their growth plans: construction, food and beverage, manufacturing, medical, professional services and retail. Across these industries, 86% of business owners expressed the desire to grow using a variety of tactics:
- New marketing campaigns: 47%
- Hiring more team members: 40%
- Purchasing new or updating existing equipment: 32%
- Introducing additional products and services: 31%
- Investing in new software and/or technology: 21%
- Expanding into new locations: 12%
Turning some of these visions into realities requires a substantial investment upfront, which can affect cash flow and threaten stability. Business loans may provide the capital needed to pursue growth, while ensuring there’s still enough cash available to support core business processes.
What are some of the main ways business owners might use loan funds? According to National’s survey:
- 65% want to boost sales, which can be done in many ways, including through strategic advertising, pushing into new markets, expanding operations or improving service and engagement to improve customer retention. Each tactic has the potential to increase cash flow and overall profits.
- 32% seek to streamline operations, and this is where new equipment and technology come in handy. Upgrading reduces the time required to complete tasks and move through common workflows, minimizes the potential for errors and increases efficiency throughout the business. This makes it possible to serve more customers in less time and provides a better customer service experience for each transaction.
- 29% are looking to lower costs, whether by seeking out partnerships with new vendors, paying down debt or outsourcing tasks that are too costly to complete in-house. Saving money means there’s more left over to invest in growth.
Now it’s your turn! See how you can improve your business and progress on the path toward your goals with the right funding option.
Use National to Capitalize on the Good Times!
National Business Capital & Services’ phones are ringing off the hook from small business owners across the country looking to capitalize on the good times with their wide variety of small business loans, which gives them an even faster, easier way of getting the capital they need to grow, saves them money, and ensures the most cost-effective method of financing for virtually any business goal.
National is currently helping thousands of small business owners nationwide
- Boost inventory
- Expand and make improvements buildings
- Purchase old or new business equipment with the ability to completely write off expenses in as little as 1 year
- Hire more staff
- Manage payroll
- Gain working capital
And much, much more.
And what’s more, business owners are also benefiting from the ability to save on interest, as well as reduce their taxes and utility costs even further through their business improvement division, National Business Services!
What are You Waiting For?
Fill out National’s 1-page, 1-minute application to join in on the fun, and get the funding you need in as little as 24 hours to capitalize on this incredible time of small business growth! Or, give a Business Financing Advisor a call at (877) 482-3008 to get some expert advice on how you should be taking advantage of this amazing period for the small business economy!
National Business Capital & Services is the #1 FinTech marketplace offering small business financing and services. Harnessing the power of smart technology and even smarter people, we’ve streamlined the approval process to secure over $1 billion in financing for small business owners to date.
Our expert Business Financing Advisors work within our 75+ Lender Marketplace in real time to give you easy access to the best low-interest SBA loans, short and long-term loans and business lines of credit, as well as a full suite of revenue-driving business services.
We strengthen local communities one small business loan at a time.
For every deal we fund, we donate 10 meals to Feeding America!
David Surrusco is a Content Writer at National, best known for his work in creating what has become the best blog regarding business growth known to mankind: The National Advisor.