The Future of the Start Up Economy

I was reading a few statistics out of the Gallup offices the other day and I was thrilled to see that U.S. Small-Business owners' optimism is the highest it’s ever been since 2008.

According to a survey conducted by Wells Fargo and Gallup Small Business Index, small-business owners' improving views of their revenues and other aspects of their businesses have propelled the overall Wells Fargo/Gallup Small Business Index to its highest level since 2008. This continues the general upward movement seen in the index since it reached its low point in 2010, although it remains below the high points registered in the years prior to the Great Recession. Small-business owners' more upbeat views of their operating environments come at a time of generally positive economic trends in economic growth and unemployment, as measured by the government, as well as year-over-year upticks in Gallup's consumer-based reports on employment, company hiring and consumer spending.

However the report also had some chilling news. While small business owners are more optimistic than ever, the deaths of businesses now outnumber the births of businesses. Up to 2008, startups outpaced business failures by about 100,000 per year. But in the past six years, that number turned upside down.

What does all this mean?  Honestly, I am not sure.  All I know is that the last great economic challenge that our country faced (ie. The great depression) also spurned the greatest amount of innovation and new business than ever before.  While it is arguable that the government subsidies and programs were much more amenable than now I still believe that the success of any entrepreneur lies within the network and the partnerships the build.  Don’t get me wrong.  The odds are great and the deck is definitely stacked but I truly believe that since the work environment has changed the way we work must also change.  As such, never has it been more important for connection and community in this age of virtual isolationism.  Our very future and growth depends on it!