3 Things You Should Know About Small Business: August 7

NEW YORK (TheStreet) -- What's happening in small business today?

1. Yet another survey tells us that small business owners are less optimistic about the economy. A Wells Fargo(WFC) survey found that small business optimism declined last month. The Wells Fargo/Gallup Small Business Index declined six points to 17 in the second quarter, virtually erasing gains from earlier in the year, underscoring the lingering concerns business owners have about their future financial situation, revenue and cash flow.

For perspective, business owner optimism was at a minus 28 in the third quarter of 2010, according to the survey.

Still, the number of business owners expecting to be in a "good financial position" over the next 12 months fell seven percentage points to 59%. Business owners expecting increased revenue over the next 12 months also fell six percentage points to 43%.

The survey also included questions to gauge business owner attitudes about capital spending. Fifty-three percent of business owners say they have made capital investments over the past 12 months, mainly in new equipment or machinery, the survey says. About 41% plan to make capital investments in the next 12 months.

"This is the first drop in the Index this year and it seems to correlate to the lower percentage of business owners planning to invest in their companies in the year ahead," said Doug Case, Wells Fargo small business segment manager. "In the survey, businesses said they'll be more likely to invest in their businesses when they see improvements in their operating environment, and better sales and revenues."

2. Entrepreneurial lessons from Olympic gold medalist Gabby Douglas. Gymnastics star Gabby Douglas left her home to move 1,000 miles away to dedicate two years of her life to pursue her passion. Was it worth it and more importantly, as an entrepreneur, would you do the same? For Gabby, it most certainly was.