Marlin: Small Bus Optimism, Spending Outlooks Brighten



While the national economy’s overall outlook remains somewhat moderate, small business optimism is on the rise recently, with some survey levels approaching their highest marks in almost six years and many capital spending plans improving over recent years. So says an equipment and business industry report provided by Marlin Equipment Finance.

Marlin notes, according to the Wall Street Journal, that survey results from July and August hit some of their highest levels since the start of the recession, according to The Wall Street Journal.

An additional WSJ/Vistage confidence index of small business CEOs reached a new high of 104.2, increasing more than 10 points over one year ago. 73% of the 678 business owners surveyed said they expect their revenues to increase in the next year, with another 54% predicting their overall profitability will improve.

An additional survey from Wells Fargo and Gallup saw its highest levels of growth and optimism since the third quarter of 2008, while the National Federation of Independent Business said its August results had the fourth-highest recorded figures since December 2007.

Interviews with small business owners ranging from automotive repair shops to travel agencies backed up these results, with growth in recent years bringing overall business levels close to pre-recession heights. Small business hiring has also picked up in 2013, with half of owners expecting to increase hiring. While that number has remained level since February, it’s up 10 points on results from November 2012.

In addition, capital spending intentions have increased 6% since the end of 2012, according to Gallup, though overall rates still lag behind pre-recession numbers. Reports of more capital allocation has also increased in the past 12 months – while 18% of owners reported improvement in spending at the end of 2012, current numbers are closer to 25%. Overall, more owners have said they plan to increase their spending since early 2012, with the overall outlook for small business owners remaining high at the moment.


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