TL;DR
The NFIB Small Business Optimism Index increased by 0.3 points in September, following a decrease in labor shortages, but concerns about inflation and economic outlook remain prevalent. Federal interest rates have climbed by nearly three percent since the start of the year to push back against inflation.
Recent survey data reflects an increase in small business sentiment despite concerns about inflation and the broader economic outlook. After months of trending downward, the NFIB Small Business Optimism Index climbed by 0.3 points in September.
According to Reuters, this increase in confidence follows a decrease in labor shortages, but concerns regarding inflation and economic outlook are still prevalent.
Federal interest rates have climbed by nearly three percent since the start of the year to push back against inflation, and Fed policymakers are “expected to deliver another 75 basis-point hike at the central bank’s next meeting in November.”
As franchisors continue development efforts, the small spike in optimism may prove helpful. However, companies should continue to build strong trust with prospects, as many will likely be searching for opportunities that can withstand inflation and potential economic or labor downfalls.
In this story
This story was originally published in 1851 Franchise on October 12, 2022. Burnaze summarizes and links to the original reporting.
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