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Small-Business Owners Are Feeling More Upbeat — but Most Still Won’t Do This

Published

8 years ago

October 14, 2016

The glass is half full, more or less.

Owners of small businesses — and mid-sized ones, too — are feeling pretty good about the U.S. economy, according to the latest PNC Economic Outlook Survey.

But for the most part, that optimism isn’t translating into hiring plans for the next six months.

About 71 percent of respondents said they’re optimistic about the national economy. That’s the highest the number has been since 2005, according to PNC.

And 77 percent are optimistic about their local economy.

Half of businesses surveyed said they expect their sales to increase during the next six months and 47 percent said profits will rise.

But 22 only percent expect to hire new full-time employees. In the spring survey, that number was 24 percent.

About two-thirds of businesses said they will maintain the same number of full-time workers, while 8 percent plan to reduce staff.

“The glass for small business owners appears half full instead of half empty, but they aren’t ready to buy a round for everyone,” said Stuart Hoffman, PNC’s chief economist. “We expect to see moderate economic growth for the rest of this year with enough improvement for a federal funds rate increase at the Federal Open Market Committee’s meeting in December.”

Asked what term best describes their feelings about the business climate during the next six months, “hope” was chosen by 55 percent. This compares to 16 percent for “enthusiasm.” On the negative side, 11 percent chose “fear” and 4 percent picked “despair.”

Read more from PNC.

Looking for a Seamless Sale? Call Wilkerson

After almost 60 years in business, Breakiron Jewelers in Erie, Pennsylvania, was closing its doors. And the store’s owner, Linda Breakiron, was ready for it. She had run the store as its sole owner since the beginning of the millennium and was looking forward to a change. Of course, she called Wilkerson. Breakiron talked to other jewelers who had used Wilkerson and was satisfied with their response. “They always had positive feedback,” she recalls. With the sales, marketing and even additional inventory that Wilkerson provided, Breakiron insists she could never have accomplished her going-out-of-business sale without Wilkerson’s help. She’s now ready for the journey ahead, but looking back, she’d be sure to recommend Wilkerson. “They just made the whole process very seamless.”