Nevada businesses show strong confidence in economy, survey shows
Ask, “How’s business?” to a local business owner, and you will likely hear, “We’re growing.”
An annual survey commissioned by Nevada State Bank of small-business decision-makers throughout Nevada, found record levels of confidence in the state economy.
“This year’s survey shows that Nevada businesses are doing better than they have in years and that the people who run these companies are increasingly optimistic about the state, national, and local economies, Terry Shirey, president and CEO of Nevada State Bank, said in a statement.
More than 87 percent of those surveyed believe Nevada’s economy is headed in the right direction. That’s up from 77 percent in last year’s survey and represents the highest level of confidence in the five-year history of this survey.
“We’re seeing just a tremendous amount of activity in the economy,” said Jeff Grace, who said he was surprised at his own optimism about the state economy.
Grace, CEO of Las Vegas-based information technology service company NetEffect, said he’s outgrown his office space. He has 25 employees, he said, and only anticipates more growth in the near term.
Like Grace, more than 42 percent of survey respondents said they plan to hire more employees over the next year, up from less than 36 percent who planned to increase their employee count last year.
“We have a offer in on a space that’s twice our current size, recruiting is definitely a high priority for us right now, and we’re investing in the current people we have in getting them trained and improving their skills and abilities,” he said.
Lydia High, owner of Las Vegas-based accounting firm Precise Business Management, said she also feels optimistic about growth in her own business as well as in her clients’ businesses.
High said she has three direct employees and 20 clients, several of whom have seen significant growth in the last 12 months.
“Several clients have added new employees and purchased new property,” she said.
More than half of all business leaders (nearly 53 percent of those who responded) said their company revenues increased over the past year – with more than 70 percent of them expecting that trend to continue over the next 12 months.
Grace said he’s noticed that his clients are willing to invest.
“Many of our clients were apprehensive about investing in their IT. They might have known that they needed to do something, but in challenging economic times they’re just less interested and less willing to spend the money. Recently there has — over the last year — been a very clear shift,” he said.
The statewide survey by local firm Applied Analysis was conducted during January on behalf of Nevada State Bank. The bank surveyed more than 400 small business decision-makers, including owners, operators and executives representing businesses with annual sales ranging from $250,000 to $10 million.
Contact Nicole Raz at nraz@reviewjournal.com or 702-380-4512. Follow @JournalistNikki on Twitter.
