Confidence among the country's small business owners has reached its highest level since December 2007, according to the National Federation of Independent Business, marking the highest level since the recession began.
The NFIB's confidence index rose to 93.2 in November - up from 91.7 in October - and also saw gains in seven out of 10 of the index's component categories.
"It was encouraging to see substantial improvement in expectations for economic performance, critical if spending and hiring are to elevate beyond survival and replacement levels," said NFIB chief economist William Dunkelberg. "Plans to hire, make capital outlays and invest in inventories all rose, albeit from historically low levels."
Although reassuring news for entrepreneurs looking to incorporate in California, New York or any other of the country's leading business hubs, the index remains significantly below the expansion-era average of 100.7.
The primary obstacle to kick-starting the recovery process has been stubbornly high unemployment rates. However, many analysts hope that the index's reporting of higher sales expectations will translate into a hike in consumer spending, which accounts for 70 percent of the economy, according to Bloomberg.
Tags : ca, financial management, ny, small business management
Posted: Dec 14th, 2010