Inflation, Taxes, Uncertainty Dominate Concerns of Main Street

August 14, 2024

Inflation, Taxes, Uncertainty Dominate Concerns of Main Street

FOR IMMEDIATE RELEASE Contact: Ronda Wiggers, Montana State Director, rondakwiggers@gmail.com or Tony Malandra, Senior Media Manager, anthony.malandra@nfib.org HELENA, Mont., Aug. 14, 2024—Of the 75 issues NFIB ranks in its quadrennial Small Business Problems & Priorities report, the latest edition of which was released today, the cost of health care has been the No. 1 worry since 1986. But most interesting was the increasing importance of interest rates as a major concern for small business owners, rising 43 positions in rank from 56th in 2020 to 13th in 2024. “Small businesses have faced rising costs in inventory, utilities, fuel and interest rates,” said Ronda Wiggers, Montana state director for the National Federation of Independent Business (NFIB), “now they are faced with the uncertainty of a possible 20% increase in their business income tax. Combined, these create serious economic concerns for Montana’s Main Street businesses.” Highlights from NFIB’s latest Small Business Problems & Priorities report, published every four years since 1982 include:

Unchanged since 1986, the “Cost of Health Insurance” remains the number one chronic issue for small business owners.

The “Cost of Supplies/Inventories” moved up in importance from ranking 12th in 2020 to its current second place ranking – a direct result of historic inflation over the last two years.

The “Cost of Natural Gas, Propane, Gasoline, Diesel Fuel Oil” is the 6th most severe problem cited by small business owners. Nearly one-in-four report it as critical.

Similarly, “Electric Costs (rates)” is a top issues for small business owners, ranking 10th in 2024 and reported critical by 16%.

“Interest Rates” topped the list by rising 43 positions from a rank of 56th in 2020 to 13th in 2024

“Uncertainty over Government Actions” ranks 8th and is critical for 23%.

Ranking 4th, “Federal Taxes on Business Income.

“State Taxes on Business Income” ranks as the most severe tax issue. Twenty-two percent rank it as critical.

“For the last four years, small business owners have struggled with historic inflation, tax pressures at all levels of government, and uncertainty of what’s going to happen next,” said Holly Wade, Executive Director of the NFIB Research Center. “This survey helps the public understand the issues affecting the small business sector. Small businesses employ more than half of the private sector workforce, and this publication makes clear where lawmakers should focus their attention to strengthen Main Street and every community in which they operate.” NFIB research (Jobs Report, SBET, Problems & Priorities) is of NFIB-member, small-business owners and not broken down by state. The average NFIB-member small business has between five and nine employees. Keep up with the latest Montana small business news at env-nfibcom-uat.kinsta.cloud/montana or by following us on Twitter at @NFIB_MT. ### For 80 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is a nonprofit, nonpartisan, and member-driven association. Since its founding in 1943, NFIB has been exclusively dedicated to small and independent businesses and remains so today. For more information, please visit nfib.com. NFIB Montana 406-899-9659″ rondakwiggers@gmail.com env-nfibcom-uat.kinsta.cloud/montana Twitter: @NFIB_MT