Despite continued uncertainty, small business owners in key markets are strategically investing in their operations to adapt and future-proof

Half of U.S small business owners have changed how they run their businesses as economic pressures continue, a new Chase survey reveals. Between inflationary challenges, hiring shortages and tariffs, small business sentiment remains well-below post-election highs. Yet, instead of retreating, many businesses are taking action to adapt and innovate, particularly in key markets across the country.

Conducted nationally, with in-depth analyses in Boston, Chicago, Houston, San Diego, Seattle and Tampa, the Chase survey reveals that despite a challenging environment, 41% of small businesses nationally identify as being in “growth mode”. These businesses are actively working to increase sales, looking to expand to new locations, and hiring more staff.

They’re also investing in technology – like digital payments and payroll software –prioritizing employee retention, and adapting their supply chains, resulting in revenue increases that exceed expectations. This proactive approach is particularly evident in cities like Chicago, Seattle, and Houston, where growth mode percentages are even higher at 70%, 58%, and 56%, respectively.

“Market conditions and overall optimism will always fluctuate, but what matters is how businesses respond and adapt to the moment,” said Ben Walter, CEO, Chase for Business. “Small business owners are some of the most resilient and forward-thinking leaders out there – constantly adopting new tools and navigating challenging times with grit and innovation.”

When surveying select markets across the country, the data found that these small business owners were 1.4 times more likely to buy local and integrate AI tools, and 1.3 times more likely to invest in employee retention compared to the national average. According to the survey, these growing small businesses are:

Bolstering cash buffers amid elevated uncertainty, while paying down existing debt

• 18% of small businesses in these metro areas are either increasing extra cash on hand or planning to in the next month. These trends were most notable in San Diego (24%) and Boston (20%).
• 27% of small businesses in these markets are currently paying down debts or planning to within the next month – particularly in Boston (32%) and Chicago (30%).

Integrating AI and digital technology, underscoring a commitment to innovation and operational efficiency

• 40% of Boston and San Diego small businesses have adopted AI tools, followed by Tampa (38%) and Seattle (34%).
• These businesses are 1.5 times more likely to say that digital transformation has been crucial to their post-pandemic success.

Continuing to invest in their business resulting in better-than-expected revenues

• 71% of businesses in these markets are experiencing rising revenues, compared with the national average (54%). 78% of businesses in Boston note better than expected business results, followed by Chicago (76%) and Houston (70%).
• Over 90% of respondents in Chicago and Tampa say that it is important to invest in the business during challenging market conditions.

You can download a detailed snapshot of these findings HERE.

ABOUT THE SURVEY

Chase surveyed approximately 500 small business owners across the nation, and an additional ~300 in six specific metro areas in mid-March 2025. Respondents include both Chase and non-Chase customers. The markets selected were based on a number of factors including having a dynamic business environment, a known culture of innovation and entrepreneurship, and a strong Chase for Business presence. These markets were also more likely to say that they their business is under five years old compared with the national average (53% MSA average vs 38% national).

About Chase

Chase is the U.S. consumer and commercial banking business of JPMorgan Chase & Co. (NYSE: JPM), a leading financial services firm based in the United States of America with assets of $4.4 trillion and operations worldwide. Chase serves more than 84 million consumers and 7 million small businesses, with a broad range of financial services, including personal banking, credit cards, mortgages, auto financing, investment advice, small business loans and payment processing. Customers can choose how and where they want to bank: Nearly 5,000 branches in 48 states and the District of Columbia, more than 15,000 ATMs, mobile, online and by phone. For more information, go to chase.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250505437821/en/

“Market conditions and overall optimism will always fluctuate, but what matters is how businesses respond and adapt to the moment,” said Ben Walter, CEO, Chase for Business.