According to the U.S. Small Business Administration, there are over 27.5 million small businesses in the United States, which in total represent 99.7% of all employer firms.
The Small Business Authority is a direct distributor of a wide range of business services and financial products to the small- and medium-sized business market. It recently released the results of the SB Authority Index of small business indicators for July 2013.
Small business indicators for July 2013 reached 120.28 points. The Russell Microcap Index, retail sales and new business formations led the increase. The SB Authority Index is up .75% from June 2013. As a year-over-year comparison, the SB Authority Index is up from 112.82 points, a 6.62% increase.
President and CEO, Barry Sloane said, “Our index has had its single greatest increase since January of 2013. For the first time in many years, we see an increase in new business formations which are up 9% year over year.”
“New business formations are the most powerful precursor to reviving our economy. New businesses typically purchase computer hardware, software, take up real estate, pay taxes and immediately add to new job hires. Over the past several months we have discussed tepid growth and we are now excited about the opportunity with new business formations to potentially forecast modest growth.”