RIVERWOODS, Ill. — Small-business economic confidence rebounded in October as more small-business owners report economic conditions for their businesses and the country are getting better, according to the Discover Small Business Watch, a monthly index measuring economic confidence of U.S. small-business owners who have less than five employees.The monthly index rose to 84.2 in October, up 10.4 points from 73.8 in September — the biggest one-month gain since April.This month, 28% of small-business owners expect economic conditions for their businesses to get better in the next six months, up from 20% last month; 43% think conditions will worsen, down from 55%; and 24% expect conditions to stay the same.Perceptions of the overall economy’s direction are also improving. In October, 31% of small-business owners said the economy is getting better, up from 26 percent in September; while 48% say it’s getting worse, and 17% think it’s the same.The outlook for spending on business development is improving: 22% of small-business owners plan to increase spending, up from 16% last month; 46% plan to decrease spending, down from 57% in September; and 30% expect no changes for the next six months.Forty-six percent of small-business owners report having cash-flow issues, unchanged from last month, while 50% say they do not have cash-flow issues.Sixty-one percent of small-business owners rate the economy poor, down from 68% last month; 31% rate it fair, 5% rate it good, and 2% rate it excellent.The Discover Small Business Watch is based on a national random survey of 750 small-business owners.
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