Articles and News

U.S. Small Businesses Stay Upbeat on 2026 Growth Despite Inflation and Tariff Uncertainty October 28, 2025 (0 comments)

Chicago, IL--Small business optimism remains strong across the U.S., with most owners expecting growth in 2026 despite inflation and trade uncertainty.

[Image via iStock.com/Miljan Živković]

According to the Small Business Cash Flow Trend Report from OnDeck, 93% of small businesses anticipate growth over the next year, and nearly one-third project significant expansion — the highest since early 2024.

The report stated that 75% of small businesses are turning to non-bank or fintech lenders for working capital, up from 73% in the previous quarter. Owners cited speed and accessibility as key reasons for avoiding traditional banks.

Cash flow and inflation remain the leading challenges, cited by 30% of respondents. Still, technology adoption remains widespread: 52% of businesses reported using AI across operations, signaling growing reliance on digital tools for efficiency and financial management.

"Small businesses remain confident in growth opportunities in the coming year, even as they navigate challenges like inflation and cash flow," said Jim Granat, Co-President of Small Business at Enova. He added that owners are "investing in AI, choosing fintechs for faster access to capital, and staying focused on what they can control – their customers, cash flow and creativity."

Per the report, tariffs have yet to significantly affect most small businesses. About 65% said tariffs have not impacted their bottom line, while 40% pointed to seasonal demand and 38% cited credit access as more influential factors. Only 18% considered tariffs a major strategic concern for the rest of the year.

David Snitkof, General Manager of SMB at Ocrolus, said, "AI-powered data and analytics are transforming how lenders understand small businesses." He noted that better analytics allow lenders to make faster, more informed decisions and help business owners secure growth capital.

The findings are based on a nationwide survey of 531 small businesses with working capital loans and data from more than 3.26 million financing applications collected over the past 15 months. The survey was conducted from September 10 to 21, 2025.

Learn more in this news release about the report.