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Small-business owners' confidence in the economy rose slightly in October, while half of owners surveyed believe economic recovery is more than a year away, according to the results of a monthly survey Discover Financial Services released Monday. The Discover Small Business Watch index rose to 88.5 in October from 87.7 the previous month. The Watch is a monthly report measuring the relative economic confidence of 750 randomly selected small-business owners based on their responses to six questions. Its creators established a base index of 100 when the Watch began in August 2006. Asked when they expect to see an economic recovery, 50% of those surveyed said it would take more than 12 months, while 28% said it would take six to 12 months, 13% said it would take less than six months, and 9% were unsure. Some 55% of those surveyed rated the economy as poor, up from 53% who did in September and from 48% who did in August. Some 44% of business owners believe the economy is getting worse, down from 46% who said so in September. Business owners who said they plan to decrease spending dropped to 44% in October from 50% the previous month, while those who said they plan to increase spending dropped to 23% from 25%. "This could indicate that any significant expansion and investment in the small-business sector isn't likely to arrive for quiet a while," Ryan Scully, Discover business card director, said in a statement.
