The latest NFIB data (National Federation of Independent Business) shows small business sentiment near a 3 ½ year high with specific points of confidence tied to hopefulness surrounding tax and regulation policies for the new administration. Additionally, from a capital expenditure perspective, 14% of SMBs indicated that now is a good time to expand their business.
This data corresponds to Sage’s recent Small Business, Big Opportunity (SBBO) report regarding both what business owners are looking for government assistance surrounding and where they are allocating spend to drive their business. As a global leader in accounting, finance, HR, and payroll technology for SMBs Sage has a unique pulse on the marketplace and the attitudes of small businesses.
"The NFIB Small Business Optimism Index rose by eight points in November to 101.7, after 34 months of remaining below the 50-year average of 98. This is the highest reading since June 2021. Of the 10 Optimism Index components, nine increased, none decreased, and one was unchanged."1
“The election results signal a major shift in economic policy, leading to a surge in optimism among small business owners,” said NFIB Chief Economist Bill Dunkelberg. “Main Street also became more certain about future business conditions following the election, breaking a nearly three-year streak of record high uncertainty. Owners are particularly hopeful for tax and regulation policies that favor strong economic growth as well as relief from inflationary pressures. In addition, small business owners are eager to expand their operations.” 1
All indications are, small business is seeing a positive outlook for the economy and their own businesses.
Footnotes, Disclosures & Credits
1 - Excerpts from Main Street breaks 34-month streak of record high uncertainty, National Federation of Independent Business, December 10, 2024.
Additional source materials come from Axicom on behalf of Sage.