Small business owners still struggling to find post-pandemic economic traction
FOR IMMEDIATE RELEASE
Contact: Michael Iosua, Hawaii State Director, [email protected]
or Tony Malandra, Senior Media Manager, [email protected]
HONOLULU, Sept. 10, 2024—Release today of the latest Small Business Economic Trends report (Optimism Index) by the National Federation of Independent Business (NFIB) shows a Main Street economy still struggling to find its footing for the journey back to prosperity—if it can.
“The mood on Main Street worsened in August, despite last month’s gains,” said NFIB Chief Economist Bill Dunkelberg. “Historically high inflation remains the top issue for owners as sales expectations plummet and cost pressures increase. Uncertainty among small business owners continues to rise as expectations for future business conditions worsen.”
Highlights from Today’s Report
- The frequency of reports of positive profit trends was a net negative 37% (seasonally adjusted), seven points worse than in July and the lowest since March 2010.
- Twenty-four percent of owners reported inflation as their single most important problem in operating their business, down one point from July.
- The net percent of owners expecting higher real sales volumes fell nine points in August to a net negative 18% (seasonally adjusted).
- A seasonally adjusted net 20% plan to raise compensation in the next three months, up two points from July.
Note to Reporters
Last week (September 4), NFIB released an industry-specific Small Business Optimism report measuring the construction, manufacturing, retail, and services sectors. A noteworthy highlight (Page 12 of the full report): Seventy percent of all small business owners reported being impacted by supply chain disruptions (significant, moderate, or mild).
NFIB’s monthly (SBET) report is the gold standard measurement of America’s small business economy. Used by the Federal Reserve, Congressional leaders, administration officials, and state legislatures across the nation, it’s regarded as the bellwether on the health and welfare of the Main Street enterprises that employ half of all workers, generate more net new jobs than large corporations, and gave most of us the first start in our working life. The SBET (aka the Optimism Index) is a national snapshot of NFIB-member, small-business owners not broken down by state. More about the Uncertainty Index can be read here. The typical NFIB member employs between one and nine people and reports gross sales of about $500,000 a year.
Keep up with the latest Hawaii small-business news at www.nfib.com/hawaii or by following NFIB Hawaii on X @NFIB_HI.
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For 80 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is a nonprofit, nonpartisan, and member-driven association. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit nfib.com.
NFIB Hawaii
745 Fort Street Mall 17th Floor
Honolulu, HI 96813
808-541-9050
NFIB.com/HI
Twitter: @NFIB_HI
