Interest rates are down, markets are up and private businesses are optimistic. A report issued last month by KPMG found that 86% of private and recently public companies have high hopes for growth in the next 18 months. Nearly three in four say they’re ready to capitalize on major growth opportunities today. And about two-thirds are projecting an uptick in M&A in the next 18 months.

How are these companies going to get to that growth? Most of them—53%—see themselves as strong disruptors or game changers, innovating in their industries enough to challenge traditional operations and change consumer expectations.

But it’s not all enthusiasm. Private and recently public companies also see barriers to realizing that growth. The potential slowdown in innovation and tech advances was seen as the largest stumbling block, but cybersecurity threats, inflation, increasing energy costs, geopolitical issues and problems with attracting and retaining talent also ranked high on their list of worries.

Because these companies are mostly private, it’s hard to say if their actual results will back up their sanguine projections. However, KPMG pointed out that many of these companies are more agile than those publicly traded, and can quickly make changes and adapt to new trends and technologies. However, analysts have been predicting more economic growth, an upswing in M&A deals and increasing consumer spending up ahead. These things could bolster all companies’ prospects going forward.

Two ingredients for business growth today are a quality brand and cultural relevance. Stanley 1913, which makes the social media sensation Quencher water bottle, has seen its sales soar as its colorful beverage containers are a top accessory on desks, at schools, in gyms and on fashion show runways. I talked to Matt Navarro, president of the 111-year-old brand, about how Stanley has continually reinvented itself and continued to be a treasured brand. A portion of our conversation is later in this newsletter.

Tesla cars sit parked in a lot at the Tesla factory in Fremont, California.

Last week, Tesla did something it’s been unable to do for most of 2024: Inspire a market rally. Shares in Elon Musk’s EV company shot up more than 20% last week after the company reported stronger-than-expected earnings and ended its four-quarter streak of year-over-year profit declines. Tesla also increased its estimates for vehicle deliveries, both this year and next—with Musk projecting a 25% to 30% bump in 2025. He also said he expects self-driving taxi service to launch in California and Texas next year. Thursday, the day after Tesla’s after-hours earnings report, was the company’s best on the market since 2013. The EV-driven rally continued through Friday, helping move the Nasdaq to an all-time high of 18,690.01.

It’s unclear if Tesla’s rally will lose its charge anytime soon. For the positive points in the earnings report, there were also some negatives. Tesla missed its revenue expectations for the quarter. On the earnings call, Musk continued to double down on Tesla’s new target........

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