Nearly half of U.S. small business owners have changed how they run their operations in response to ongoing economic challenges, according to a new survey released by Chase on May 5.
The findings show that many are not scaling back but instead taking active steps to grow, even as inflation, tariffs, and hiring shortages persist.
The survey, conducted in March, found that 41 percent of small businesses nationwide consider themselves in “growth mode”—expanding to new locations, hiring staff, and investing in digital tools. In Chicago, Seattle, and Houston, the percentages were even higher, at 70 percent, 58 percent, and 56 percent, respectively, according to the survey data.
“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.”
The report offers a detailed look at six metro areas—Boston, Chicago, Houston, San Diego, Seattle, and Tampa, Florida—where small businesses are outperforming the national average on several key indicators.
The survey found that 71 percent of respondents in those metro areas reported rising revenues, compared with 54 percent nationwide.
In Boston, 78 percent of small businesses said revenues have exceeded expectations. Chicago and Houston followed at 76 percent and 70 percent, respectively.
More than 90 percent of businesses in Chicago and Tampa said investing in their businesses during challenging times is essential.
Across the six metro areas, small businesses were also more likely to embrace new tools and technology, Chase reported.
Businesses in Boston and San Diego led in adopting artificial intelligence, with 40 percent of respondents reporting using artificial intelligence tools. Tampa and Seattle followed at 38 percent and 34 percent, respectively. Businesses in these markets were 1.5 times more likely to say digital transformation was crucial to their success since the COVID-19 pandemic.
Cash management and debt reduction were also priorities: 18 percent of small businesses said they are increasing cash reserves, while 27 percent are actively paying down debt. In San Diego, nearly one in four small companies reported building up cash buffers. In Boston, 32 percent said they’re paying down debt.
The Chase survey included responses from approximately 500 small business owners nationwide, plus about 300 more in the six metro areas. Respondents included both Chase and non-Chase customers.
Chase said the selected markets were chosen for their “dynamic business environments” and high levels of entrepreneurship. Businesses surveyed in those cities were also more likely to be younger than the national average—53 percent said their businesses were less than five years old, compared with 38 percent nationally.
