Small business optimism is on the rise – a sign that now could be the ideal time to explore different small business loan options.
Score, a small business mentorship company, recently released data concerning everything from improving sentiment in the market to growth among female small business owners.
Optimism shoots skyward
Since the second quarter of 2013, small business optimism has increased significantly, according to Score.
Thirty-seven percent of businesses said prospects were excellent, while 45 percent described them as good. Meanwhile, 57 percent of small business owners plan geographical expansion during the next year, meaning there could be a considerable increase in demand for small business working capital loans, merchant cash advances and other lending products.
Score also reported more than half of individuals surveyed said they plan to increase marketing and social media efforts. A quarter of respondents said they plan to hire and will hire mostly full-time workers.
Women take the lead
In addition to growing confidence, figures from Score show more women are swelling the ranks of small business owners.
“There are now 9.1 million women-owned businesses, compared to 8.6 million just last year,” the organization stated in a press release. “These enterprises generate a total of $1.4 trillion in revenue. More than 1,200 new businesses are started every day by women.”
As more and more women become small business owners, lenders are beginning to tailor business loans for women specifically.
The data from Score echoes another recent report on small business owners, this one from PNC.
According to the latest PNC Economic Outlook Survey, many small and midsized businesses in the U.S. are planning to raise employee salaries – a strong sign of positive business sentiment.
“Wage growth has been a missing piece of the labor market puzzle to date,” PNC Chief Economist Stuart Hoffman said in a press release. “With more business owners planning pay raises and higher prices for customers, these findings strongly support our forecast for a faster economic and jobs expansion and also send important signals to Fed policy makers that the economic recovery is speeding up.”
PNC reported that two in five business owners expect to raise employee pay over the next six months. This represents the highest number since 2008. Meanwhile, of owners looking to increase employee compensation, three in five plan to raise wages by 3 percent or more.
This and other positive indicators could make now the right time for owners to put their business expansion plans into action via small business loans.