The National Small Business Association today released the 2014 Mid-Year Economic Report which shows positive gains in revenues and hiring as well as improved economic outlook and confidence among America's small-business owners. Today, the number of small-business owners who report they reduced their workforce in the last 12 months was just 19 percent—the lowest it's been in nearly six years.

"More small-business owners than at any time in the last six-plus years say today's economy is better than it was five years ago," stated NSBA President and CEO Todd McCracken. "Unfortunately, the majority still believe the coming year will bring a flat or recessionary economy."

In addition to the notable gains in hiring, three-in-four small firms report they either increased employee compensation in the last year, or plan to do so in the coming year.

Small-business owners' confidence about the future of their own business also improved notably. Today, 72 percent expressed confidence about the future of their business, up from 66 percent six months ago.

However, small firms are far from out of the woods just yet: more than one-in-four small-business owners is not confident about the future of his/her small firm; one-in-three anticipate no growth opportunities for their firms in the coming year; and 46 percent—up from 41 percent six months ago—say they are concerned that inflation could be an issue facing their business in the coming year.

"Capital is the lifeblood of the small firm, and our survey found that the positive—if slow—progress we're making on that front continues," stated NSBA Chair Jeff Van Winkle of Clark Hill in Grand Rapids, Michigan. "Seventy-two percent of small-business owners reported they were able to obtain adequate financing, up from 70 percent six months ago and 65 percent one year ago."