All small business owners roll the dice when they decide where to set up shop. Entrepreneurs who have decided put all their chips on the table in Nevada are feeling lucky about 2018. According to an annual small business survey of Nevada-based owners and managers, 87% are confident that the local economy is headed in the right direction.
That number is up from last year’s 77%, and is the highest number on record in the five years of the survey. Additionally, almost 83% of Nevada’s small business leaders believe the nation’s economy is headed down a good path, up from 69% last year. One reason that confidence is so high? 53% of Nevada business leaders saw increased profits last year.
Economists from Southern Nevada seem to suggest a similarly positive trend. “We see continued expansion of the local economy and no signal of recession locally,” said Dr. Stephen Miller, director of the Center for Business and Economic Research at UNLV. Brian Bonnenfant, project manager at the University of Nevada, Reno, echoed the same trend for Northern Nevada, describing the economy as, “steady” and “a mirror of what happened in 2017.”
Both the Coincident Employment Index—an indicator of current economic performance—and the Leading Employment Index—an indicator of future economic performance—were on an upward trend as of Sept. 30, 2017. These indexes both signal a positive economic future for Nevada.
The primary source of economic growth is expected to come from tourism-related investments and construction, according to John Restrepo, Principal of Las Vegas-based RCG Economics. With both tourism and construction predicted to rise, opportunities for small businesses in those sectors are assumed to be plentiful.
“If there is one thing Nevada has, it is land,” says Steven Neff, owner of a BrightStar Care franchise. “There is still plenty of capacity in the commercial market. We had no problem finding commercial real estate to open our business.” With the development of plentiful commercial real estate, Nevada has become a popular startup hub.
“We’ve recently been compared to the Silicon Valley; we’re a huge startup hub and there are a lot of people coming in at this time,” says Cammy Evans, PR director at Reno-based Sierra Virtual “The mood and vibe has shifted. People are choosing smaller businesses and startups to work with because of a more personalized experience.”