SMALL BUSINESS OPTIMISM PLATEAUS AS TRENTON PLAYS GAMES WITH TTF FUNDING
SMALL BUSINESS OPTIMISM PLATEAUS AS TRENTON PLAYS GAMES WITH TTF FUNDING
TRENTON (August 9, 2016) – The Index of Small Business Optimism rose one-tenth of a point in July to 94.6, a meager increase showing no real enthusiasm for expansion, expected sales, and making capital outlays, according to the National Federation of Independent Business (NFIB).
“This month’s survey reveals that the sentiment of small business owners is to hunker down and maintain the status quo. Unfortunately when optimism plateaus, so does growth,” said NFIB New Jersey state director, Laurie Ehlbeck. “Nationally, the prospects of small business owners making future business investments is weak. At home in New Jersey, it’s practically nonexistent.”
At 94.6, the Index remains well below the 42-year average of 98. Four of the 10 Index components posted a gain, four declined, and two were unchanged. The outlook for business conditions in the next six months continued to improve, gaining 16 percentage points since January, but still more owners still expect conditions to be worse than expect improvement. New Jersey small business owners continue to struggle to plan for the future as legislative deadlock in Trenton adds to fiscal uncertainty.
“After economic conditions, the political climate continues to be the second most frequently cited reason for why owners think the current period is a bad time to expand. Lawmakers need to understand that their rhetoric and backroom deals are directly impacting our economy,” continued Ehlbeck. “Failing to understand that is what has led us to the debacle to fund the transportation trust fund, where raising a tax of any kind should be taken off the table immediately if politicians want to improve the small business sector.”
NFIB’s monthly Small Business Economic Trends survey is based on a monthly survey of small businesses. The survey was conducted in July and reflects the response of 1,703 small businesses.
