Business Checkpoint

Small business hiring looks strong, but margins are shrinking due to rising costs, leading firms to lean on price hikes.

Small business margins have tightened as fuel costs surge and payroll growth slows unevenly across regions and sectors.

Though profitability growth remained positive, rising energy prices and heightened uncertainty are impacting small business capex.

Small business profits and tech spending rose in February, but hiring intentions and payroll growth remain muted.

Small businesses enter 2026 cautiously optimistic as profitability growth meets rising costs and hiring hesitation.

Small firms ended 2025 with lifted optimism and a late-year hiring rebound — signs of resilience despite lingering cost pressures.

The holiday boost kept small business profits positive in November, but growth and hiring has slipped amid rising cost pressures. 

Small businesses face rising costs and cautious hiring, even as holiday spending and tech adoption show signs of strength.

Small business profits held steady in September, but hiring slowed and credit balances rose – signs of possible pressure ahead.

Despite uncertainty weighing on hiring, small business profitability remains positive and more firms appear willing to borrow.

Overall small business hiring fell for the third consecutive month in July as cost pressures and business uncertainty increased. 

Small business profitability increased again in June, but there are signs of a slowdown in hiring and business travel plans.

Though a very minor share of small firms pays tariffs directly, import costs are rising for some wholesalers and retailers.

Despite uncertainty, more small businesses are hanging “help wanted” instead of “out of stock” signs, especially in the South.

Small business profitability remains in good shape, though they cut back on discretionary spending and tapered payrolls in March.