The Small Business Optimism Index increased in May to the second highest level in the survey’s 45-year history. The index rose to 107.8, a three-point gain, with small businesses reporting high numbers in several key areas including compensation, profits and sales trends.
A net 19% of small business owners are planning price increases, the highest since 2008 and a signal of a strong economy. A net three% reported positive profit trends, up four points and the best reading in the survey’s history. In addition, a net 15% reported higher nominal sales in the past three months, up an astonishing seven points and the sixth consecutive strong month for sales.