The latest report from the GoDaddy Small Business Research Lab highlights a mixed economic outlook among U.S. microbusiness owners. Nearly half (49%) of the 2,100 surveyed predict a weaker economy in the next six months—a notable increase from the previous year. Despite this, 66% still expect revenue growth, and only 9% foresee a sales decline. GoDaddy CEO Aman Bhutani emphasizes that while small business owners are realistic about external challenges, their confidence in their own efforts remains strong.

Over time, optimism about revenue growth has slightly declined—from 73% in 2023 to 66% in 2025—indicating a slow shift in sentiment. Many entrepreneurs are also re-evaluating their long-term goals, with a rising percentage (40%) choosing to stay solo rather than expand into larger operations. This change suggests that small business owners are prioritizing manageable, lifestyle-aligned ventures over growth for its own sake, likely reflecting both market realities and evolving personal priorities.

Rising costs are a significant concern, putting pressure on both pricing and margins. Limited cash flow remains the most common barrier, while specific challenges include existing expenses and pricing constraints. These issues are especially pronounced in industries like construction and creative media. For businesses with larger teams, wages are the main cost pressure. Overall, 33% of business owners cite financial stress as their top concern, outweighing other challenges such as technology adoption or customer retention.

Despite these difficulties, access to capital appears to be improving, and business owners continue to show determination and adaptability. Commentary from nonprofit leader Victor W. Hwang and entrepreneur Leo Lopez underscores the resilience and resourcefulness of America's small business community. Both express optimism that, with the right tools and mindset, entrepreneurs can continue to drive growth and innovation, even in uncertain times.