A survey found that small business owners have their minds set on long-term growth and tax breaks.
business owner optimism leapt 20 percent in October, to 53 percent, from a
record-low the previous month, according to SurePayroll's monthly Small
Business Scorecard. The scorecard includes hiring and wage data for the top 35
U.S. metropolitan statistical areas and surveys national small business owner
optimism each month.
October, the scorecard revealed that on a national level there continues to be
flat or decreased hiring for the 13th month in a row, totaling a year-to-date
decline in hiring of 2.9 percent. However, the company noted this downward turn
is slowing since September. Wages remain down slightly (0.6 percent) for the
survey also found that small business owners have their minds set on long-term
growth and indicate that the current administration and presidential candidates
should be focusing on putting our fiscal house in order. Other findings from
the optimism survey found 51 percent of small business owners report that the
most critical issues related to job growth are balancing the budget, reducing
the deficit and stabilizing the housing market. In addition, 45 percent think
some kind of flat tax would have a positive impact on hiring, and 44 percent
think a flat tax would have no impact on hiring; roughly 11 percent thought it
could have a negative impact on hiring.
is like the fuel that drives small business. With small business optimism
taking such a strong upswing, we can be hopeful that hiring and wage trends may
follow," said SurePayroll President Michael Alter. "While hiring is
down, a closer look at the numbers shows the decline is slowing. And while
wages appear flat, they are in fact up just a bit from this time last year.
That coupled with rising optimism makes me think next month may be even brighter
for small business."
data from the scorecard shows that for the seventh consecutive month, the South
remains the only positive hiring region, having experienced minimal month-over-month
growth in hiring. In contrast, the Northeast, Midwest and West again continue
to show negative month-over-month growth. Year to date, the South is up 0.5
percent, while the other regions are all negative.
survey also found small business owners continue to rely on contractors to fill
their needs versus hiring new employees-contractor use showed a month-over-month
increase of 1.3 percent.
Scorecard compiles data from over 30,000 small businesses, and exclusively
reflects the trends affecting the nation's "micro businesses"-those
with an average of eight employees.
Nathan Eddy is Associate Editor, Midmarket, at eWEEK.com. Before joining eWEEK.com, Nate was a writer with ChannelWeb and he served as an editor at FierceMarkets. He is a graduate of the Medill School of Journalism at Northwestern University.