Small businesses are best positioned to really take advantage of any type of economic recovery. They are nimble and able to adapt on a day to day basis rather than waiting for weeks or even months of data to pile up. This means that while things are starting to look a little better it is definitely starting to approach prime time for small business.
In general an economic recovery is a slow and steady improvement of confidence and spending. Thus in the end people are making more money and in turn feeling free to spend it. While this is typically a slow process it is a process that is generally heralded by small businesses. Most of the jobs lost in an economic downturn are never officially recovered by the companies that shed them. The jobs are regained by new companies and innovation that is used to drive the economy forward.
So while confidence is slowly building in the economy, now is the time to brush off your business plans and start constructing the framework for a successful business. Catching the upswing early is the ultimate time to start a small business. You can reap the benefits of cheap labor and produce new and interesting products for both the local economy as well as the global economy in general.
When is the best time to start a new company? 20 years ago. When is the second best time? Today!