Small business sentiment improved in August but remains depressed as business owners face an uncertain economic landscape.
Buoyed by marginally better expectations in the near term and a slight reduction in inflation worries, the monthly Small Business Optimism Index from the National Federation of Independent Business rose to 91.8 last month from 89.9, although it marked the eighth consecutive month during which optimism fell below the survey's five-decade average.
America's small businesses are running out of workersBusiness owners reported that inflation remained their most significant impediment, with 29% naming it as their biggest operational challenge, down from 37% in July. Just trailing inflation as the most pressing problem facing small business owners was labor quality, which 26% cited as their top issue, while an additional 10% said labor costs were their top business problem.