B.C. Business Confidence Rebounds
Prince George, B.C.- According to the latest monthly Business Barometer survey results from the Canadian Federation of Independent Business (CFIB), BC’s small business optimism was up 2.2 points in October to 65.5. That increase bucks the previous three month trend when saw confidence fall a full 6 points. The October 2016 confidence level is nearly the same as it was in the same month a year ago when it hit 65.7.
“The downward trend seen in recent months (in BC) has reversed, as British Columbia’s small businesses are feeling fairly confident in October,” says BC economist Aaron Aerts, “Business optimism is back in that healthy range above 65, suggesting the economy is heating up. BC is now home to the second most confident entrepreneurs nationally, just barely trailing PEI.”
An index level over 50 means business owners expect their business’ performance to improve in the next year and an index mark between 65 and 75 indicates the economy is growing at its potential.
Provincially, B.C. is now in second place among provinces and territories in Canada . At 65.5, BC is tied with Nova Scotia in second place, and well ahead of the national average which is 57.7.
Despite the improved confidence level in B.C., the percentage of small businesses planning to increase full time staff in the next three months has slipped 5 points from September, dropping to 17%. The good news is there was also a slight decline ( one percentage point) of those looking to cut back staff, as 13% said they may reduce staff levels.