NFIB: Inflation plagues small businesses in New Hampshire

Inflation remains the top issue among small business owners, and a seasonally adjusted net 24 percent of small business owners plan to raise prices. These are just some of the findings from the latest NFIB Small Business Optimism Index released this week.

“Inflation continues to be the biggest obstacle facing small businesses in New Hampshire,” said Bruce Berke, New Hampshire state director of the National Federation of Independent Business (NFIB). “Cost pressures on Main Street have not eased much, and small business owners continue to adjust their operations to accommodate rising prices.”

“These relentless cost pressures are taking a toll on New Hampshire's small businesses and consumers and should serve as a warning to elected officials to carefully consider any actions that could make the state less affordable.”

The NFIB Small Business Optimism Index rose 2.2 points to 93.7 in July, the highest since February 2022, the organization reported. However, this is the 31st consecutive month below the 50-year average of 98. Inflation remains the top issue among small business owners, with 25 percent citing it as their single most important problem in running their business, up four points from June.

New Hampshire's economy is consistently ranked as one of the best in the U.S. and also has the fourth-lowest unemployment rate in the country. But this success also brings challenges, such as a lack of housing for workers and rising labor costs.

At the national level, says Bill Dunkelberg, chief economist at the NFIB, “the road ahead remains tough for the nation's small business owners. Cost pressures, particularly in labor costs, continue to weigh on small businesses' operations and impact their bottom lines. Owners face unpredictable months, not knowing how future economic conditions or government policies will affect them.”

A new St. Anselm College Survey Center poll released Thursday found that inflation and the economy continue to be the top concerns of Granite State voters. And an NHJournal poll released last month found that concerns about the housing market top the list, especially among independent voters.