Small Business Resilience

09.04.20

Chart of the Week – Small Business Resilience

Small businesses are responsible for approximately 50% of U.S. gross domestic product and create more jobs than medium and large businesses together. How are they doing?

According to a July survey, small business optimism is about average, but down modestly from June. Aggregated real-time data from Womply, a business intelligence provider, shows trends in small business activity have been largely flat since the beginning of July. This fits with our theory that the strong leg of the post-Covid recovery occurs in the current quarter. We continue to expect the recovery in small business to be un-even, depending on the type of business. Support them where you can.

NFIB Small Business Optimism Index
Chart Showing NFIB Small Business Optimism Index
Chart Showing NFIB Small Business Optimism Index

Source: National Federation of Independent Business (NFIB), Womply, Bloomberg. Data shown is from January 1990 through July 2020. This chart is being provided as a general source of information for education purposes only, and is not intended as a recommendation to purchase, sell, or hold any specific security or to engage in any investment strategy.