What Challenges are Small Businesses Facing?
Inflation remains the single top concern among small business owners according to the latest MetLife and U.S. Chamber Small Business Index.
However: At the same time, other concerns including revenue, supply chain issues, rising interest rates, and access to capital are viewed as second-tier challenges.
Here are the top concerns of American small businesses:
1. Inflation
2. Revenue
3. Rising Interesting Rates
4. Click here to find out.
More Small Biz Data: The Q4 2022 Small Business Index survey was conducted between October 11-27, 2022. To check out more findings from Q4 and explore previous quarterly reports, click here.
Durable Goods Orders Down, but Businesses Continue Investing
by: Curtis Dubay, Chief Economist, U.S. Chamber
Why it matters: Normally, a steep drop like that would be troubling. However, looking into the report more closely shows that volatile components account for the swings, and businesses continue to invest in capital.
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Details: In December, orders for new airplanes surged. In January, those orders fell back. Airplanes are expensive, of course, so changes in orders cause big swings in the data.
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But: Core capital goods spending, all durable orders minus volatile aircraft and defense spending, was up a solid 0.8%, which was above inflation for the month.
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Be smart: This tells us that despite all the bumpiness in the economy, and while businesses continue to tell surveys they see an upcoming slowdown, they are forging ahead with all-important capital investment.
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Bottom line: The economy is in better shape than most anticipated it would be. This means, if the slowdown everyone expects is to come this year, it may come later in the year rather than mid-year as most predicted.
More from the U.S. Chamber:
7 Small Business Financing Trends to Watch
Need Funding for your Small Business? 4 Things to Consider When Choosing and Investor
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