The economic recovery is a feel-good factor for small businesses. Though it is still not a full-blown economic recovery, but yet small businesses are not complaining. There is reason for optimism as analysts are finding that the economy has stabilized and there is policy tilt towards the small businesses.
Progressive Computing is a New York based small business that has withered the vicious economic downturn that started in 2008. Robert Patterson, a business manager at the company, says, “Like other companies, we took a dip and are now pretty much right back at the levels of 2008”. Analysts are not really surprised about this improvement, in-spite of the continuing unemployment, wholesale foreclosures and stringent economic conditions.
Ryan Scully, director of Discover’s business card division, has analyzed business trends and agrees with the view. As Republicans are taking control of the house, it is more of optimism for small businesses. As per Discover Small Business Watch. The consumer goods business and services have improved in November rising to 87.2. This is up three points from 84.2 in October. It is a straight monthly gain 11 points higher in comparison to what was 12 months ago.
In the next six months, it is believed that 25 percent of business owners will increase their spending to develop small businesses. Scully acknowledges that 59 percent small-business owners of America, still rate the economy to be poor.
Gunwel Associates, another company is expecting a surge in business next year. This is keeping in view expected expiration of Bush period tax cuts and tax code changes. Due to increased workload, the company is expecting to make new hires.
Scully says, “There would appear to be some measurable hope for the holidays that business will improve.”
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