US Small Businesses Continue to Thrive Amid Challenges
Despite facing numerous obstacles, including tariffs, inflation, and regulations, US small businesses have been performing relatively well in recent times. According to a range of surveys and reports, these entrepreneurs are optimistic about their prospects for 2026, citing improved economic conditions and reduced uncertainty.
The National Federation of Independent Businesses (NFIB) has been tracking the health of small businesses for over 50 years, publishing monthly reports on economic trends based on a random sample of its approximately 300,000 member firms. The latest data shows that small business optimism has increased for the second consecutive month, with owners expecting favorable economic conditions to continue.
Fiserv's Small Business Index, which aggregates consumer spending activity from point-of-sale transactions across over 2 million US small businesses, reported modest monthly sales growth in December. This resilience was driven by consumers focusing on essentials and making selective discretionary purchases, as they grappled with ongoing cost pressures.
Comerica Bank's Small Business Pulse Index found that 80% of respondents were "somewhat or very confident" about their business outlook for the next year, with 79% anticipating revenue growth in 2026. Technology and construction firms led in optimism, while sole proprietors and retail businesses showed more caution.
The data suggests that small businesses are adapting to a challenging economic climate by adjusting their operations and investing in capital expenditures. In fact, Intuit's January numbers show that small-business employment increased modestly across eight industry sectors, with hiring rising in 13 of 20 states tracked.
However, not all is rosy for US small businesses. Some industries, such as agriculture, are struggling with tariffs and higher costs, while retailers face slower sales and increased competition from big-box stores. Truckers are also grappling with increased regulations, and service firms struggle to convince consumers to spend during a period of high prices.
Despite these challenges, the majority of US small businesses remain optimistic about their prospects for 2026. While running one's own business is certainly not easy, many entrepreneurs are bucking the trend by persevering in a rapidly changing economy. As one observer noted, "if it were easy, more people would be doing it."
Despite facing numerous obstacles, including tariffs, inflation, and regulations, US small businesses have been performing relatively well in recent times. According to a range of surveys and reports, these entrepreneurs are optimistic about their prospects for 2026, citing improved economic conditions and reduced uncertainty.
The National Federation of Independent Businesses (NFIB) has been tracking the health of small businesses for over 50 years, publishing monthly reports on economic trends based on a random sample of its approximately 300,000 member firms. The latest data shows that small business optimism has increased for the second consecutive month, with owners expecting favorable economic conditions to continue.
Fiserv's Small Business Index, which aggregates consumer spending activity from point-of-sale transactions across over 2 million US small businesses, reported modest monthly sales growth in December. This resilience was driven by consumers focusing on essentials and making selective discretionary purchases, as they grappled with ongoing cost pressures.
Comerica Bank's Small Business Pulse Index found that 80% of respondents were "somewhat or very confident" about their business outlook for the next year, with 79% anticipating revenue growth in 2026. Technology and construction firms led in optimism, while sole proprietors and retail businesses showed more caution.
The data suggests that small businesses are adapting to a challenging economic climate by adjusting their operations and investing in capital expenditures. In fact, Intuit's January numbers show that small-business employment increased modestly across eight industry sectors, with hiring rising in 13 of 20 states tracked.
However, not all is rosy for US small businesses. Some industries, such as agriculture, are struggling with tariffs and higher costs, while retailers face slower sales and increased competition from big-box stores. Truckers are also grappling with increased regulations, and service firms struggle to convince consumers to spend during a period of high prices.
Despite these challenges, the majority of US small businesses remain optimistic about their prospects for 2026. While running one's own business is certainly not easy, many entrepreneurs are bucking the trend by persevering in a rapidly changing economy. As one observer noted, "if it were easy, more people would be doing it."