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Entrepreneurship and Current Small Business Economic Trends

Reviewed by Ty Crandall

November 14, 2023


Economic Trends Credit Suite 2 business looking at a trend line

How is the US economy doing? What are the economic trends? Are things getting worse, or better? What is expected to happen in the future?

The Economic Trends Report

Recently, the National Federation of Independent Businesses released a report on small business economic trends. And that reality is, business owners are concerned. Hopes seem to be getting replaced with the possibility of a worst case scenario.

So, what’s this decline in optimism and rise in pessimism all about?

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Small Business Concerns

According to the report, business owners are concerned about the growth of inflation. Other issues include finance and interest percentages, poor sales, and taxes. Contrast this to last year, when they were more preoccupied with the quality of labor.

Interestingly enough, the cost of fuel is not on the list, although energy could be under the overall inflation “umbrella”.

Interest Rates

About one-quarter of all surveyed company owners borrow at least once every three months. But these businesses also reported that getting loans is harder than it was three months ago.

Rates and Expansion Plans

And the relative interest rate is higher. Entrepreneurs said it was “not a good time” to expand, as they anticipated actual interest would stay at or about 5%.

Without a plan to spend on expansion, borrowing to start spending on essential services was the main reason an owner would apply for a loan.

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Hiring and Entrepreneurial Economic Activity

A part of the current downturn economy has been the so-called Great Resignation. Entrepreneurs can’t really get traction for growth because they just plain can’t find workers. Fifty percent said they have openings they cannot fill right now.

Rather than work harder to attract employees (say, with better benefits or higher salaries), these entrepreneurs seem to have just decided to accept that job applicants are slow to respond—if ever.

Fewer Companies are Looking to Hire

Many have scaled back hiring plans, perhaps to prevent spending on HR or headhunter services. A good 60% say they cannot find qualified workers, yet there don’t seem to be plans in place for access to training.

Looking to the Future

Are these ideas costly? Of course they are. But if entrepreneurs become investors in their employees, then they can establish a better future. Without such spending, it would appear we are headed to this problem just repeating itself.

Get Your Free Business Finance Assessment to Discover your Optimal Path to Improve Fundability™, Build Business Credit, and Get Business Loans

Here is a Great Idea to Fix Some of These Issues

An entrepreneur who looks to the future is usually going to be in a better position that one who does not.

This includes working to build corporate credit. It makes sense now, more than ever.

Why Building Corporate Credit Makes Sense in Our Current Economy

There is a chance that the Fed will increase rates, in an effort to forestall inflation. Therefore, buying on credit now will save you money later. Using starter vendor credit to access basic office supplies and auto maintenance means you will be building your credit up.

Use Business Credit as a Hedge Against Inflation

Access lower credit limits now, so you can access higher credit limits later—when you really need them. And buy what you can get with vendor credit now, before inflation makes those goods more costly.


Regardless of your personal politics, many people are concerned about inflation and a possible recession. Access to good corporate credit will help now and whether or not there’s a future recession. Contact us today to discuss your options.

About the author 

Janet Gershen-Siegel

Janet Gershen-Siegel is the seasoned Finance Writer and a former content manager at Credit Suite. She has been admitted to practice law for over 30 years, with a focus on litigation and product liability, and is a published author, with writing credits at Entrepreneur, FedSmith.com and BusinessingMag.com.

She has a BA in Philosophy from Boston University, a JD from the Delaware Law School of Widener University, and a MS in Interactive Media (Social Media) from Quinnipiac University.

She regularly writes for Credit Suite, which helps businesses improve Fundability™, build credit, and get approved for loans and credit lines.

Her specialties: business credit, business credit cards, business funding, crowdfunding, and law

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