Analysis: Small Businesses Optimistic About the Health of Their Business
Small businesses across the country feel "generally good" about the health of their business despite facing challenges of inflation, a workers shortage, and supply chain disruptions, according to new data from the U.S. Chamber of Commerce.
In the most recent U.S. Chamber Small Business Index survey, 89% of small businesses polled in the fourth quarter of 2022 said their business is either in "average, good, or very good" health, with 64% stating their business was either in "good" or "very good" health.
The positive sentiment from employers about their own businesses was a stark contrast to the feelings they have about the current economy. Just 27% of small businesses polled said they feel the U.S. economy is in "good" health, with 54% saying the economy is "somewhat" or "very" poor.
"The U.S. Chamber of Commerce has described this mismatch of sentiment as “second-hand pessimism,” the report stated.
"Individuals and businesses report feeling bad about the economy, but they are still spending and making new investments. There is a divide between how consumers and businesses say they feel about the economy (bad) and how they’re acting (still spending)."