11-5-2005
Report says Washington still
worst for small-business
Some positive numbers show base economy sturdy
   Washington is still dead last among 26 large-economy states in its overall business environment, according to the latest Washington Small-Business Conditions report recently released, but some underlying numbers show a potential for rapid improvement.

As with all the reports, the Research Foundation of the National Federation of Independent Business (NFIB), America's largest small-business advocacy group, begins by asking Main Street business owners to assess the level of support they receive from the state's business environment - which includes government, banks, media, and community groups.

Although Washington slightly improved its rating from the last quarter, moving from a net negative four percent to a net negative one percent, it now has the sole distinction of being the only state with a negative rating. Last quarter, California joined Washington on the negative side of the ledger, but the Golden State received a positive rating this time around. By way of comparison, Virginia racked up the best rating in the nation with a net 41 percent support rate.

“This rating indicates that Washington small-business owners are not comfortable with the people in charge of government,” said Carolyn Logue, state director for the 15,000-member NFIB/Washington. “If you look at some of the other indicators on this survey, it's clear that our base economy is holding steady (at a reasonably positive level). Washington policymakers need to start talking with small-business owners instead of just assuming they know what Main Street needs. These are not just NFIB members talking, but a random sample of all small-business owners across the state.”

Logue pointed to Washington's ranking as fourth in the nation on the positive outlook small-business owners have in the coming months, sixth in the net “good sales” category, seventh in the net change in business conditions in their market areas, 10th in the net number who said profits were good, and 13th in both improved business conditions in market area and job openings. “The engine of the Washington economy is just fine. What is lacking are the right drivers behind the wheel,” added Logue.