Published
July 16, 2026
The latest U.S. Chamber of Commerce Small Business Index shows small businesses reporting steady business health despite their growing concerns about inflation. This quarter, the Index score is 66.5, nearly unchanged from last quarter’s 67.0, and slightly above the reading from this time last year (65.2).
Inflation Remains Biggest Concern
Small businesses say inflation is, by far, the top challenge they face today. A majority (57%) cite inflation as a top concern, up from 48% in Q2 2025.
By sector, small businesses in services (66%), retail (59%), and manufacturing (58%) are more likely to cite inflation as a challenge than those in professional services (46%).
Revenue continues to be the second most cited challenge (26%), followed by affording employee benefits and healthcare (20%).
At the same time, 69% of small businesses say their business is in good health, unchanged from last quarter. However, fewer rate their business health as very good (27% vs. 32%).
Most Anticipate Increasing Revenue
Most small businesses expect revenue growth next year. At the same time, more expect to increase staff (compared to last quarter), while future investment plans remain unchanged:
- 35% say they expect to increase staff, up from 30% last quarter, but down seven points from a year ago (42% in Q2 2025).
- 66% expect revenue to increase in the next year, up from 61% in Q1 and near levels one year ago.
- Comfort with cash flow is down only slightly from a year ago (69% vs. 72% in Q2 2025).
Investment plans, however, have not followed the same path. Just 38% say they plan to increase investment in the next year—essentially flat from last quarter (37%) but nearly ten points below this time last year (47%).
Views of National Economy Remain Unchanged
Positive views on the national economy (which are consistently lower than the local economy) remained similar to a year ago at 30%.
However, positive views of the local economy fell eight points from a year ago with 33% rating the local economy as good today (compared to 41% a year ago).
“The local economy seems strong in terms of consumer activity, but many of our clients are struggling due to loss of sponsorship revenue, uncertainty, government spending changes, and other factors that are restricting business investment,” said Bryan Owen, Owner & Co-CEO of Between Pixels, a marketing agency in Marietta, Georgia.
The Q2 survey was conducted between May 19 – June 4, 2026. For more findings from this quarter, and to explore years of small business data, visit here.
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About the author
Thaddeus Swanek
Thaddeus is a senior writer and editor with the U.S. Chamber of Commerce's strategic communications team.
