The National Federation of Independent Business (NFIB) reported on Jan. 14 that its Small Business Optimism Index rose by 3.4 points in December to 105.1, marking the highest reading since October 2018 and the second consecutive month above the long-term average.
The rise in optimism is significant as it reflects growing confidence among small business owners about economic conditions following recent political changes. The index measures expectations for economic growth, sales, hiring, and other key indicators for small businesses.
“Optimism on Main Street continues to grow with the improved economic outlook following the election,” said NFIB Chief Economist Bill Dunkelberg. “Small business owners feel more certain and hopeful about the economic agenda of the new administration. Expectations for economic growth, lower inflation, and positive business conditions have increased in anticipation of pro-business policies and legislation in the new year.”
While state-specific data was not available, NFIB State Director Michael Smith called on lawmakers to focus on reforms that support small businesses and encourage economic development. “With the legislative session kicking off here in Cheyenne, lawmakers have an incredible opportunity to build upon the rising optimism among small business owners. They can deliver real results to strengthen Wyoming’s economy by cutting taxes, reducing red-tape, and bolstering our state’s workforce,” Smith said.
Key findings from December include a net percent of owners expecting improvement in the economy rising sharply to a net 52%, its highest since late 1983; more owners seeing it as a good time to expand; and higher expectations for real sales volumes. However, challenges remain: labor quality and inflation continue as top concerns for many respondents.
The NFIB Research Center has been collecting this data through quarterly surveys since late 1973 and monthly surveys since 1986. The latest survey was conducted in December 2024.
