Small Business Optimism Drops to Lowest Level Since 2012

April 11, 2024

Delaney Sexton
Contributing Editor

Small Business Optimism Drops to Lowest Level Since 2012

Small Business Optimism

The NFIB Small Business Optimism Index decreased by almost a point in March. This sent the index to its lowest reading since December 2012. It is reported that this is the 27th consecutive month below the fifty-year average. More than a third of business owners expect that general business conditions will be worse six months from now.

Credit Markets

  • 27% of small business owners reported that all their credit needs were met, which increased by 3% in March.
  • Only 2% said that all their borrowing needs were not met.
  • 59% of small business owners are not interested in a loan.
  • Also increasing 3% in March, 28% of small business owners reported borrowing on a regular basis.
  • A slight increase, 8% of owners said that their last loan was more difficult to get than previous attempts.
  • On their most recent loan, 17% paid a higher rate.
  • The average rate paid on short maturity loans was 9.8%, up 1.1 points from February.
  • Only 4% reported that financing was a top business problem.

Source:
NFIB SBET March 2024