Overview

• For the first time since 2021, more small businesses reported revenue declines than increases, with 41% seeing income shrink in 2024.
• Only 19% of small businesses were classified as 'growing' in 2024, a drop from 22% in prior years and far below pre-pandemic levels.
• Reaching customers and growing sales emerged as the top operational challenge, cited by 57% of firms, up from 53% in 2023.
• Rising costs of goods, services, and wages were the most common financial concern, affecting 75% of businesses in 2024.
• Supply chain issues eased, with only 29% of firms reporting challenges, but labor costs and uneven cash flow remain significant obstacles.