A new Bank of America survey shows that small and mid-sized business owners in the US are feeling more positive. The report says 74% expect their revenue to grow next year, and nearly 60% plan to expand their business.
Business owners also feel that stabilising tariffs and easing inflation will help local, national, and even global economies. Many believe supply chains will finally improve in 2026 after years of disruptions.
Sharon Miller, president of business banking at Bank of America, said the overall outlook is upbeat. “Business owners are approaching the coming year with confidence and a clear focus on growth,” she noted.
Small and mid-sized firms were hit hard by tariff changes in 2025, leading to higher expenses, supply chain issues, and slower hiring.
Labour shortages continue to be a major challenge; three in five business owners say they are affected, and many report working more hours because they cannot find enough staff.
Regardless of these challenges, only 1% plan to lay off workers, while 43% intend to hire in the coming year.
As Miller explains, “Many plan to retain their current staff and hire more and anticipate that local, national and global economies will improve.”
Inflation is still a burden, too. More than half of the surveyed owners have raised prices to manage rising costs, just as they did last year.
The survey also found that technology has become a major part of business growth. Over the last five years, 77% of small and mid-sized businesses have adopted AI to improve operations.
Increase in revenue expected
Another recent Bank of America study revealed that 78% of business owners expect revenue growth this year. While most plan to expand, smaller businesses are slightly less confident compared to mid-sized ones.
“Overall, the report is a positive one… Nearly 80% of business owners that we surveyed across the country feel really good about what’s going on within their business,” Bank of America’s President of Business Banking, Raul Anaya told Yahoo Finance.
He added that 80% expect revenue growth next year, and almost 70% plan to expand. More than half want to hire to support that growth. “So overall, it’s a good report,” he told Yahoo Finance.
However, the study shows that 85% of mid-sized businesses expect higher revenue, compared to 70% of small businesses. According to Anaya, mid-sized companies typically have more employees and resources, which helps them push ahead with growth plans.