Small Businesses Show Resilience Amid Economic Concerns, Gusto Survey Reveals

Rising Prices Amid Confidence

A significant number of small businesses are adjusting their prices. According to a Gusto survey, 52% of small business owners raised their prices in the past year, with most increases capped at 10%. Looking ahead, another 50% plan to raise prices again in the upcoming year.

The Challenges of Hiring

Hiring continues to present challenges for small businesses of all sizes. Twenty-six percent of small business owners reported difficulties in finding suitable candidates within the past year. A striking 64% of these owners pointed to a lack of necessary skills as the primary issue. Smaller businesses often struggle with the inability to meet the salary expectations of qualified candidates, while larger small enterprises face scheduling conflicts with prospective hires.

Relying on Credit

This year, many small businesses turned to external financing, with 79% depending on business credit cards, an increase from 69% in 2025. Notably, 63% of these card users carry a balance from month to month, indicating that they are using credit cards for more than just everyday expenses, leaning towards long-term financing solutions. Interestingly, 35% of small businesses reported using no outside financing at all.

Securing Financing

The survey also indicated that a majority of small business owners who sought financing were successful; 85% received the funds they needed. Owners with a positive outlook were particularly successful, with nearly 90% of optimistic business owners able to secure financing, in contrast to just under 75% of those with a negative outlook.

“Small businesses continue to face high borrowing costs, and that may continue into 2027. As credit costs remain high, owners may continue to look for additional credit options like credit cards or short-term financing,” remarked Nich Tremper, Senior Economist and Head of Gusto Insights.

Survey Methodology

The insights shared are derived from a Gusto survey conducted between August 17 and September 7, 2026, involving 1,731 owners and operators of U.S. businesses with fewer than 25 employees. The respondents were Gusto customers, and the results were weighted to reflect the national mix of industries and business ages. The margin of error for the survey stands at +/- 3.4 percentage points at a 95% confidence level, and may be larger for specific subgroups.

For further details, the full report and methodology can be accessed at: www.gusto.com/resources/gusto-insights/state-of-small-business-2026

About Gusto

Founded in 2011, Gusto is dedicated to simplifying the complex elements of running a small business. Offering services from company formation to payroll and HR management, Gusto aims to empower business owners to focus on their core operations. With more than 500,000 small businesses supported across offices in San Francisco, New York, and Denver, Gusto is committed to nurturing the small business economy through innovative technology and personalized service.