Colorado Springs Financial Briefs: December 28, 2007

Colorado Springs Business Journal, Dec 28, 2007 by Rebecca Tonn

The Vectra Bank Colorado Small Business Index for Colorado registered 94.7 during November, down from a revised 95.2 during October.

Vectra Bank Colorado's corporate economist, Jeff Thredgold, attributed the slight change to consistent economic performance in Colorado amid national uncertainty.

"There are good things happening in the Colorado economy right now," Thredgold said. "The state is experiencing solid, consistent job growth double the national average. Financing costs are declining. But Colorado small businesses do face significant uncertainty and challenges. The state continues with some of the tightest labor availability in years, and the haziness surrounding the national economy makes planning difficult for small business owners and managers."

Colorado's unemployment rate was estimated at 3.7 percent last month, down from the October's 3.9 percent rate. Total employment rose by 47,200 jobs during the past 12 months, a 2 percent increase year-over-year.

Slightly above expectations, the U.S. economy added 94,000 net new jobs during November. The U.S. unemployment rate remained at 4.7 percent for the third month in a row. The U.S. Small Business Index declined slightly, from 91.3 during October to 90.9 during November.

The state's unemployment rate averaged 4.3 percent during 2006, 5 percent during 2005, 5.6 percent during 2004, 6.1 percent during 2003, 5.7 percent during 2002 and 3.8 percent during 2001.

During 2000, Colorado's unemployment rate averaged 2.7 percent -- the lowest average annual rate on record.

Stronger job gains, which lead to faster income creation and stronger retail sales, have had a positive impact on Colorado small businesses.

Vectra Bank Colorado has assets of $2.3 billion and more than 40 full-service branches throughout the state.

IRS warns against phishing tax scams

The Internal Revenue Service is warning about the latest e-mail scam perpetrated by identity thieves posing as IRS representatives.

The scam involves sending official-looking e-mails that direct recipients to what appears to be the authentic IRS Web site. Recipients are then asked to reveal private personal and financial information, a practice known as "phishing."

Do not open or respond to any e-mails that appear to be from the IRS. The IRS does not initiate contact with taxpayers via e-mail or telephone.

For more information, visit www.irs.gov.

New Allstate agency

Allstate Insurance Co. has opened a new office at 5150 N. Union Blvd. Suite 205.

The agency is operated by Art Ruiz Jr.