US NFIB small biz optimism index up 0.8 points in Nov 2025

Of the 10 index components, six increased, three decreased and one remained unchanged.

An increase in those expecting real sales to be higher contributed most to the rise in the index. The net per cent of owners expecting higher real sales volumes rose by 9 points from October to a net 15 per cent (seasonally-adjusted).

The uncertainty index rose by 3 points from October to 91. An increase in owners reporting uncertainty about capital expenditure plans over the next three to six months was the primary driver of the rise in the uncertainty index.

“Although optimism increased, small business owners are still frustrated by the lack of qualified workers,” said NFIB chief economist Bill Dunkelberg in a release. “Despite this, more firms still plan to create new jobs in the near future,” he noted.

In November, the net per cent of owners raising average selling prices rose by 13 points from October to a net 34 per cent (seasonally-adjusted), the highest reading since March 2023 and the largest monthly jump in the survey’s history.

Twenty-one per cent of small business owners in November cited labour quality as their single most important problem—down by six points—erasing most of October’s sudden increase. Labour quality ranked as the top problem, six points ahead of inflation, which ranked second. 

When asked to evaluate the overall health of their business, 11 per cent reported it as excellent (down by a point), and 53 per cent reported it as good (up by two points). Thirty per cent reported the health of their business as fair (down by three points), and 5 per cent reported it as poor (up by a point). 

Sixty-four per cent of small business owners in the month reported that supply chain disruptions were affecting their business to some degree—up by 4 points month on month (MoM). Seven per cent reported a significant impact (up by three points), 19 per cent reported a moderate impact (up by two points), 38 per cent reported a mild impact (down by a point) and 35 per cent reported no impact (down by four points).

The net per cent of owners expecting better business conditions fell by five points from October to a net 15 per cent (seasonally-adjusted). Expectations for better business conditions have fallen by 32 points since January.

Fourteen per cent of small business owners reported taxes as their single most important problem—down by two points MoM. The per cent of small business owners reporting government regulations and red tape as their single most important problem rose by 3 points to 10 per cent.

A net negative 9 per cent of all owners (seasonally adjusted) reported higher nominal sales in the past three months—up by 4 points MoM.

Fifteen per cent of owners reported that inflation was their single most important problem in operating their business—up by three points MoM and ranking second after labour quality.

ALCHEMPro News Desk (DS)