Nearly Three-Quarters of Small Businesses Saw Growth in 2024 According to U.S. Bank

Almost three-quarters (73%) of American small business owners say their business has grown in the last year, according to the U.S. Bank.

The 2024 Small Business Perspective, which is based on a survey of more than 1,000 small business owners, found that these figures were even higher for Black (84%) and Hispanic (80%) owners.

According to the survey findings, many U.S. small business owners have been growing despite facing labor challenges, which include being understaffed (52%), navigating a more competitive labor market (77%), and struggling to increase their employees’ salaries to keep pace with inflation (65%).

Survey data shows that business owners are taking proactive steps to help their company attract and retain employees — 83% said they plan to offer flexible hours to support a healthier work/life balance.

Shruti Patel, chief product officer for business banking at U.S. Bank, said: “Small business owners continue to show resilience and optimism despite feeling impact from ongoing stressors such as the economy, changing labor market dynamics, higher prices and wages, and other macroeconomic factors.”

Three quarters (75%) of respondents reported they would embrace digital tools over the next 12 months to help reach their business goals, stating they are open to AI and automated solutions.

The report also unveiled the top macroeconomic stressors for small business owners this year as: competition (73%), the economic environment (71%), inflation and the increased costs of materials/supplies (65%), supply chain disruptions (47%), and obtaining enough funding to support their business (42%).

In the middle of this year’s election campaigns, almost a third (31%) of small business owners also ranked the political environment as a top stressor.