In July, the NFIB Small Business Optimism Index rose 1.7 points to 100.3, slightly higher than the 52-year average of 98, while the Uncertainty Index spiked eight points from June to 97.
Survey respondents reported better business conditions and that this is a good time to expand for their optimism. Surveys are conducted quarterly of National Federation of Independent Business (NFIB) members.
“Optimism rose slightly in July with owners reporting more positive expectations on business conditions and expansion opportunities,” NFIB Chief Economist Bill Dunkelberg said. “While uncertainty is still high, the next six months will hopefully offer business owners more clarity, especially as owners see the results of Congress making the 20 percent Small Business Deduction permanent and the final shape of trade policy. Meanwhile, labor quality has become the top issue on Main Street again.”
Other findings include:
When asked about the overall health of their business, 4 percent of survey participants reported it was poor, 13 percent reported excellent, 31 percent reported fair and 52 percent reported good.
Labor quality was the top problem according to 21 percent of small-business owners, up five points from June. Poor sales was reported as the top business problem by 11 percent of participants, up one point.