Read our full analysis for a more in-depth look at these trends.
Small Business Checkpoint: A little stocking and some hiring
Despite uncertainty, more small businesses are hanging “help wanted” instead of “out of stock” signs, especially in the South.
May 2025
Key takeaways
- There is little evidence of small firms rushing to increase inventories overall. However, some sectors, such as manufacturing and services, do appear to be stocking their shelves at an accelerated rate, according to Bank of America internal data, likely as they attempt to get ahead of tariff-related disruptions.
- Meanwhile, hiring plans for small businesses are muddled, though our alternative hiring analysis suggests some pick-up in April versus March. Small business payments to hiring firms were up almost 6% from 2019 average levels – with the caveat that this might reflect extra spending on recruitment because of trouble finding staff.
- Across the country, small business payroll growth has largely come down from last year, although cities in the South are generally faring better than cities in the Northeast, according to Bank of America internal data. However, labor supply constraints from shifting economic and immigration policies could pose a risk to certain sectors and regions.
Small Business Checkpoint is a regular publication from Bank of America Institute. It aims to provide a real-time assessment of small business spending activities and financial well-being, leveraging the depth and breadth of Bank of America’s proprietary data. Such data is not intended to be reflective or indicative of, and should not be relied upon as, the results of operations, financial condition or performance of Bank of America.
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