Last week we took a look at recent trends in the three major sources of small business financing. With that in mind, today’s post will focus on where those funds are being spent by the businesses that acquire them.

A recent study by Visa Small Business, released in November, identified key areas in which small businesses are increasing their spending levels. Today we’ll talk about 3 of those areas.

1. Capital Investments
According to this study, there’s been an increase in the number of businesses that plan to invest in things like inventory, machinery, and facilities — capital investments that will grown their businesses. This is a great sign in terms of what it means for the place of small businesses in the economy. The fact that so many business owners are investing in the future of their businesses means that they feel optimistic about their business having a future. Several years ago, that level of confidence in the economy was uncommon.

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