#United States #Dallas #Small Business #Comerica Bank #Economic Outlook

Resilient Small Businesses: A Bright Outlook for 2026

In the face of significant economic challenges—including inflation and tariffs—America's small businesses are showcasing remarkable resilience and a strong outlook for the coming year. According to the latest Comerica Small Business Pulse Index, a whopping 80% of small business owners are optimistic about their future success. Nearly 79% anticipate sales growth in 2026, highlighting the sector's ability to adapt to challenging conditions.

In a national survey conducted from November 4 to 16, 2025, among 1,013 small business owners, the findings reveal a variety of insights about confidence levels, growth expectations, and the ongoing impact of governmental economic policies.

Confidence Levels

Interestingly, optimism remains especially high amongst technology and healthcare firms, with confidence levels peaking at 93% and 90%, respectively. However, firms in the housing and real estate sector remain cautious, placing their confidence at 67%. Despite fluctuations, the overall confidence in future business conditions remains steadfast, signaling a proactive approach toward growth amidst adversity.

Sales Growth Expectations

Approximately 79% of the surveyed business owners are expecting revenue growth in 2026, with an average projected increase of 7.9%. The technology and construction sectors lead the charge in optimism, while retail businesses exhibit a more conservative outlook despite acknowledging the possibility of growth.

Investment Adjustments

On the capital investment front, around 57% of small business owners plan to make capital expenditures averaging $109,000. Tech firms again stand out with an average planned investment of $187,000, demonstrating a willingness to invest in innovation and infrastructure.

Major Concerns

However, the landscape isn't without challenges. Inflation, accounting for 23% of business concerns, tops the list, followed by tariffs at 14%. Government policies and regulations also weigh heavily on the minds of many entrepreneurs. 42% of business owners reported experiencing negative impacts from newly imposed tariffs, emphasizing the ongoing challenges in the manufacturing and retail sectors.

Positive Effects of Interest Rate Cuts

In a silver lining, more than half of the respondents noted that recent Federal Reserve interest rate cuts have positively influenced their business environment. Prompting many to invest more capital or take calculated risks, this relief offers a glimmer of hope as businesses gear up for the new year.

Strategies in the Face of Tariffs

With a significant 42% reporting adverse effects from tariffs, many small businesses are adopting proactive strategies to mitigate these impacts. These strategies range from accessing credit—23% of respondents have turned to new loans or credit lines, with a higher prevalence among female business owners—to adjusting workforce levels, where 22% of businesses are either freezing hiring or conducting layoffs.

Additionally, some entrepreneurs are making personal sacrifices, tapping into personal savings or retirement funds to maintain their businesses' operations. There has also been a notable trend of scaling back capital expenditures, with nearly 20% of businesses reporting that they have delayed crucial investment plans.

Conclusion: A Path Forward

Despite external pressures, small businesses remain committed to prioritizing operational efficiency and innovative approaches as they head into 2026. Almost 48% of business owners emphasize improving operational efficiency as their primary goal, while 45% of technology firms are set to integrate new technologies.

This enduring spirit and commitment to growth reflect the dynamism and adaptability of small businesses. As they navigate through economic hurdles, the road ahead looks promising, underscored by a confidence that stems from their resilience and strategic foresight.

• ---

For more details, connect with Comerica Bank, a financial institution committed to supporting small businesses across the country and fostering an environment of growth and success.