Business Trends

 

09 13 2013

09 13 2013

Consumer Confidence Falls in August

Small business owners may not be getting a boost in spending anytime soon, a new report has found. According to a survey conducted by the University of Michigan and Thomson Reuters, consumer confidence levels fell from July. Last month, the consumer confidence index ranked at 85.1, the highest level since 2007 – this month, that number slipped to 82.1.

Consumer confidence ratings have long been tied to spending habits among the public, which means entrepreneurs may have to continue waiting for the surge in spending so many of them need to thrive.

Although exact reasons for the dip have not been found, those who conducted the survey attribute the decline to government uncertainty.

“The August survey indicates that the recent confidence gains have stalled as consumers await decisions on the federal budget and monetary policy,” Survey of Consumers chief economist Richard Curtin said.

Fall in confidence

In general, consumers do not feel overwhelmingly confident in federal economic policies that affect large and small businesses alike. Decreased spending, however, leaves small businesses strapped for funds as they await further sales to benefit their companies.

The report revealed differences in consumer confidence levels are dependent on household income and other demographic factors. Households with incomes below $75,000 became more pessimistic about the future of the U.S. economy, while households of all other income levels expected slower growth over the coming year, as well as increased interest rates.

Increased interest rates, as well as higher mortgage rates, have contributed to the fall in optimism among the public. Long-term rates have increased by more than 1 percent over the last three months, making many wary of entering the housing market or spending more on shopping and other services. Mortgage rates continue to climb as the Federal Reserve has announced it will begin a steady decrease in financial support of the economy, worrying many consumers and businesses alike.

Curtin commented on the impact of the federal government on consumer confidence.

“A renewed Congressional storm, as well as rising market interest rates, could trim the anticipated gains in consumer spending and weaken the pace of overall economic growth,” Curtin said.

Pessimism among consumers is often a negative sign for the state of small business, as entrepreneurs rely on stable sales to stay afloat. If a small business owner is having trouble managing cash flow in light of these circumstances, they can come to National Funding for assistance. National Funding can help owners with getting a small business loan or provide a cash advance for business needs.

Find Out How Much Funding You Qualify For

Fields marked with an * are required
By clicking this button I agree to all terms and conditions.

Terms & Conditions

General Acceptance

Any applications submitted electronically shall have the same force and effect as if the application bore an inked original signature(s). The above information, together with any accompanying financial statements, schedules, or other materials, is submitted for the purpose of obtaining credit and is warranted to be true, correct, and complete.

 

US Patriot Act:

To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person and business that seeks a business loan. What this means for you: When you apply for a loan, we will ask for your business name, address, and Tax Identification Number. We will also ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents.

 

For Loan/Merchant Services:

The Merchant and Owner(s)/Officer(s) identified in the application (individually, an “Applicant”) each represents, acknowledges and agrees that (1) all information and documents provided to National Funding, Inc. (“NF”) including credit card processor statements are true, accurate and complete, (2) Applicant will immediately notify NF of any change in such information or financial condition, (3) Applicant authorizes NF to disclose all information and documents that NF may obtain including credit reports to other persons or entities (collectively, “Assignees”) that may be involved with or acquire commercial loans having daily repayment features and/or Merchant Cash Advance transactions, including without limitation the application therefor (collectively, “Transactions”) and each Assignee is authorized to use such information and documents, and share such information and documents with other Assignees, in connection with potential Transactions, (4) each Assignee will rely upon the accuracy and completeness of such information and documents, (5) NF, Assignees, and each of their representatives, successors, assigns and designees (collectively, “Recipients”) are authorized to request and receive any investigative reports, credit reports, statements from creditors or financial institutions, verification of information, or any other information that a Recipient deems necessary, (6) Applicant waives and releases any claims against Recipients and any information-providers arising from any act or omission relating to the requesting, receiving or release of information, and (7) each Owner/Officer represents that he or she is authorized to sign this form on behalf of Merchant.(8) I consent to receive direct mail, faxes, text-messages, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (9) this request is for business and not for consumer purposes.

 

For Equipment Services:

I hereby certify: (1) the information provided is true and correct, (2) you are hereby authorized to investigate all bank, credit, and trade references, and said references are hereby authorized to release any requested information to you or your nominee, (3) such authorization shall extend to obtaining personal credit profile in considering this application and subsequently for the purposes of update, renewal or extension of such credit or additional credit and for reviewing or collecting the resulting account, (4) this information may be transmitted by us to you and by you to underwriter(s) for the purpose of granting me credit, either electronically or manually, and that by submitting this application, I take full responsibility for transmission thereof, (5) I am over 18 years of age, (6) I acknowledge my rights under the Fair Credit Reporting Act, (7) I consent to receive direct mail, faxes, text-messages, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (8) this request is for business and not for consumer purposes.

 

Text Messaging:

By providing my wireless phone number to National Funding, Inc., I agree and acknowledge that National Funding, Inc. may send text and multimedia messages to my wireless phone number for any purpose. I agree that these text or multimedia messages may be regarding the products and/or services that I have previously purchased and products and/or services that National Funding, Inc. may market to me. I acknowledge that this consent may be removed at my request but that until such consent is revoked, I may receive text or multimedia messages from National Funding, Inc to my wireless phone number.

  
The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status or age (provided the applicant has the capacity to enter into the binding contract); because all or part of the applicant’s income derives from any public assistance program; or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. If for any reason your application for business credit is denied, you have the right to a written statement of the specific reasons for the denial. To obtain the statement, please write to National Funding Inc., 9820 Towne Centre Drive, San Diego, California 92121. Funding amount and credit approval is subject to a full credit profile review.