Small Business Optimism Declines In September Amid Growing Concerns

Small Business Optimism Declines In September Amid Growing Concerns

By Ethan Faverino |

The National Federation of Independent Business (NFIB) Small Business Optimism Index dropped 2 points in September to a score of 98.8, marking the first decline in three months.

Despite remaining above the 52-year average of 98, the dip reflects growing concerns among small business owners grappling with inflationary pressures, supply chain disruptions, and persistent labor shortages. The Uncertainty Index climbed 7 points to 100, making it the fourth-highest reading in over 51 years.

NFIB Chief Economist Bill Dunkelberg said, “Optimism among small business owners decreased in September. While most owners evaluate their own business as currently healthy, they are having to manage rising inflationary pressures, slower sales expectations, and ongoing labor market challenges. Although uncertainty is high, small business owners remain resilient as they seek to better understand how policy changes will impact their operations.”

In Arizona, small business owners echoed with national concerns: “Unfortunately, Arizona small business owners are facing the same sort of challenges we see in the national survey,” NFIB State Director Chad Heinrich said. “The ongoing labor shortage and inflationary pressures are giving small business owners pause in this economy. They’re focused on meeting their customers’ needs and retaining their workforce.”

Key findings from the September survey include:

  • Inflation and Supply Chains: Inflation emerged as a significant issue, with 14% of owners citing it as their top business problem, up 3 points from August. A net 24% raised selling prices, up 3 points, and a net 31% plan to increase prices in the next three months, up 5 points. Supply chain disruptions impacted 64% of owners, a 10-point jump from August.
  • Labor Market Struggles: 32% of owners reported unfilled job openings, unchanged from August. Of the 58% that are hiring or trying to hire, 88% faced a shortage of qualified applicants. A net 16% plan to create jobs in the next three months (up 1 point) is the highest since January 2025. Labor quality is tied with taxes as the top concern, cited by 18% of owners.
  • Inventory and Sales: A net negative 7% viewed current inventory as “too low,” down 7 points—the largest monthly decline in the survey’s history. A net negative 7% reported higher nominal sales over the past three months, up 2 points, but a net 8% expect higher real sales volumes (down 4 points).
  • Earnings and Investments: Actual earnings improved, with a net negative 16% reporting profit trends, up 3 points, and the highest since December 2021. Among those with lower profits, 33% cited weaker sales and 17% pointed toward material costs. Capital outlays remained steady, with 56% of owners reporting expenditures, primarily on equipment and vehicles.
  • Financing Challenges: A net 7% reported tougher loan conditions, up 4 points and the highest this year. The average rate on short-maturity loans rose 8.8%. Regular borrowing increased, with 26% of owners reporting loans, up 3 points.

Despite these challenges, 57% of owners rated their business health as “good,” up 3 points, while 11% said “excellent,” down 3 points.

Taxes and labor quality tied as the top concerns, each cited by 18% of owners, while poor sales (10%) and government regulations (6%) remained notable issues.

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

Veteran And Community Leader Michael Calles Launches Campaign For Glendale City Council

Veteran And Community Leader Michael Calles Launches Campaign For Glendale City Council

By Ethan Faverino |

Michael Calles, a fourth-generation Arizonan, U.S. Navy and U.S. Army Veteran, and retired Phoenix Police Officer with 25 years of experience, has officially announced his candidacy for Glendale City Council in the Barrel District.

Running against incumbent Councilmember Bart Turner, Calles aims to restore transparency, accountability, and ethical governance to City Hall while addressing the growing concerns of Barrel District residents.

Calles, a political newcomer, brings a lifetime of public service to his campaign with a platform centered on strengthening public safety, investing in families and youth, revitalizing neighborhoods, and advocating for lower taxes, lower utilities, and robust economic investment in the Barrel District.

His announcement comes at a pivotal moment, as Barrel District citizens express frustration with what they describe as Councilmember Turner’s lack of responsiveness and transparency.

In a press release announcing the launch of his campaign, Calles wrote, “Glendale residents deserve safe neighborhoods, fiscal responsibility, and a City Council that works for them, not one that wastes taxpayer dollars. I’m running to restore trust, strengthen public safety, and deliver real results for families in the Barrel District.”

The Calles campaign is gaining momentum as residents rally for change in the Barrel District. His commitment to transparent governance and fiscal responsibility appears to resonate with voters seeking a City Council that reflects their values and priorities.

“I’m tired of seeing Glendale residents ignored while political insiders look out for themselves,” said Calles. “I believe city leaders should listen, respond, and lead with integrity — values I have lived every day through decades of service in law enforcement, the military, and as a mentor to local youth. Now, I am ready to bring that same honesty, discipline, and responsiveness to City Hall.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

Sen. Petersen Criticizes AG Mayes For Silence On Virginia AG Nominee’s Violent Texts

Sen. Petersen Criticizes AG Mayes For Silence On Virginia AG Nominee’s Violent Texts

By Ethan Faverino |

Arizona Senate President Warren Petersen has publicly criticized Attorney General Kris Mayes and Arizona Democratic leadership for their silence regarding inflammatory statements made by Jay Jones, the Democratic nominee for Virginia Attorney General.

Jones recently came under fire for text messages in which he fantasized about the murder of the Republican Speaker of the Virginia House of Delegates and expressed a desire for the Speaker’s children to die. “If those guys die before me, I will go to their funerals to piss on their graves,” said Jones in a text message to Carrie Coyner, a member of the Virginia House of Delegates. “Three people, two bullets… Gilbert gets two bullets to the head.”

Instead of taking responsibility for his remarks, Jones has deflected blame on Virginia Attorney General Jason Miyares for the release of the messages.

In an era marked by escalating political violence, including recent high-profile incidents that have shaken the nation, Petersen emphasized the critical need for elected officials to unequivocally condemn such rhetoric.

Petersen condemned Jones’ comments and subsequent refusal to accept accountability, calling them unfit for a candidate seeking a leadership role.

“Our nation has been suffering from an unprecedented amount of political violence,” said Petersen. “Now more than ever, we need leaders to condemn such evil behavior. Mayes’ and Arizona Democrats’ silence is disturbing and unbecoming of their respective offices.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

Congress Makes 20% Small Business Tax Deduction Permanent, Boosting Arizona’s Economy

Congress Makes 20% Small Business Tax Deduction Permanent, Boosting Arizona’s Economy

By Ethan Faverino |

In a landmark victory for small businesses, Congress has made the 20% Small Business Tax Deduction, also known as Section 199A, a permanent qualified business deduction, ensuring long-term tax certainty for Main Street.

This critical provision allows small businesses to deduct up to 20% of their income, empowering mom-and-pop shops to grow, invest in their workforce, and play their part in giving back to the community.

The decision, signed into law by President Trump, averts a massive tax hike that would have impacted over 33 million small business owners nationwide at the end of 2025.

Making the Small Business Tax Deduction permanent changes the game for Main Street. The tax certainty provided by Congress ensures small businesses can thrive, hire more workers, and compete with larger corporations.

Since its introduction in 2017, the deduction has leveled the playing field for nine out of ten small businesses that file as pass-through entities. Recent NFIB surveys show growing confidence, with small business optimism reaching a five-month high.

The new tax law also includes pro-small business provisions, such as permanent extensions of the 2017 marginal tax rates, preventing up to a 4% tax hike for small businesses and employees.

Enhanced expense and depreciation rules under Section 179 and 168(k) enable business owners to confidently invest in growth, such as making large purchases. Additionally, increased reporting thresholds for IRS forms 1099-K, 1099-NEC, and 1099-MISC reduce paperwork burdens for businesses using platforms like Venmo or PayPal or engaging independent contractors.

The permanent estate tax exemption further supports owners looking to pass their businesses to the next generation or keep them locally owned.

National Federation of Independent Business (NFIB) State Director Chad Heinrich said, “An NFIB-commissioned study by EY found that the Small Business Tax Deduction will increase Arizona’s economic activity by more than $1.4 billion annually, resulting in the creation of 26,000 jobs each year. That means more, good-paying jobs for hardworking Arizonans.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.

Congressman Leads Push To Defund Transgender Experiments On Animals

Congressman Leads Push To Defund Transgender Experiments On Animals

By Ethan Faverino |

In a recent opinion piece in Townhall, Congressman Abraham Hamadeh (R-AZ-08) declared that he is leading the charge to end federal funding for transgender experiments on animals,” signaling a bold stance against the misuse of taxpayer dollars.

Congressman Hamadeh announced he is directing a group of House Republicans to demand that Fiscal Year 2026 spending bills include explicit language prohibiting federal funding for transgender experiments on animals.

“When Americans send their hard-earned money to Washington, they expect it to be used wisely to secure our borders, to defend our nation, and to provide essential services that protect our citizens. What they do not expect is for their tax dollars to bankroll the latest ideological fads of the radical left,” said Hamadeh.

“No one should be forced to subsidize radical gender ideology, let alone grotesque experiments that inflict suffering on animals in the name of ‘gender transition science.’ This is not medical research; it’s political theater disguised as science,” he added.

The initiative addresses growing concerns over federal funding being used to support immoral and unnecessary experiments involving animals such as monkeys, mice, and rabbits.

These experiments reportedly involve mutilating animals and administering cross-sex hormones to advance theories aligned with radical gender ideology.

“What possible scientific benefit can come from mutilating a rabbit or drugging a monkey with cross-sex hormones? None,” stated Congressman Hamadeh. “These experiments are not about medical advancement; they are about normalizing the transgender agenda.”

Hamadeh’s call to action highlights a broader issue: the capture of America’s research institutions by ideology. Agencies like the National Institute of Health (NIH) have diverted taxpayer dollars to projects that prioritize cultural agendas over scientific integrity.

The Congressman pointed to the Biden administration’s aggressive promotion of gender ideology across education, healthcare, and federal research as a driving force behind these experiments. “Billions of taxpayer dollars have been funneled into projects that redefine biology, undermine parental rights, and confuse children,” he said.

The push to defund these experiments is framed as part of a larger fight to protect American values and restore common sense to government spending.

Hamadeh concluded with a message to all members of Congress, saying, “The American people deserve better. Our children deserve better. And the animals who have no voice at all deserve better. That’s why I will keep leading this charge, because the line must be drawn here, and it must be drawn now. This isn’t politics – it’s common sense.”

Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.