Beehive State News

The latest report from the National Federation of Independent Business (NFIB) indicates that small business optimism across the United States remains low, with Utah standing out as an exception due to its supportive economic environment. The NFIB Small Business Economic Trends report highlights ongoing challenges faced by small businesses nationwide.

Casey Hill, NFIB's state director for Utah, emphasized in a KSL NewsRadio interview that "Utah is in many ways the best state in the nation to start a small business." He attributed this to the state's favorable policies such as low taxes and regulations. However, Hill cautioned that these advantages could be at risk if Congress does not pass the Main Street Tax Certainty Act, which aims to maintain the 20% Small Business Deduction beyond next year.

Bill Dunkelberg, NFIB Chief Economist, noted a decline in sentiment among small business owners in August. "The mood on Main Street worsened in August," he stated. Inflation continues to be a significant concern, affecting sales expectations and increasing cost pressures.

Key findings from the report include a net negative 37% profit trend among businesses, marking a decrease from July and reaching its lowest point since March 2010. Additionally, 24% of owners identified inflation as their primary challenge. Expectations for higher real sales volumes also fell sharply.

A recent industry-specific report released by NFIB highlighted supply chain disruptions impacting various sectors including construction and retail. Seventy percent of small business owners reported experiencing some level of disruption.

The NFIB's monthly Small Business Economic Trends (SBET) report serves as an important indicator for policymakers and provides insights into the health of America's small businesses. The typical NFIB member employs between one and nine people with annual gross sales around $500,000.

For further updates on Utah's small-business landscape, visit www.nfib.com/utah or follow @NFIB_UT on X.

NFIB has been advocating for independent businesses since 1943 and continues its mission today through efforts at both national and state levels.