Seven in 10 owners, or 69 per cent, reported steady business health, up slightly from 68 per cent a year ago, the index showed. Inflation remained the key pressure point, with 57 per cent citing it as their top concern, compared with 48 per cent in Q2 2025, the US Chamber of Commerce said in a media release.
US small business confidence was broadly unchanged in Q2 2026, with the index at 66.5 against 67.0 in Q1 and 65.2 a year earlier.
Inflation is now the top concern for 57 per cent of owners, while local economy optimism fell to 33 per cent from 41 per cent.
Revenue and hiring expectations improved, but investment plans remain subdued, a signal for suppliers serving US small businesses.
The release noted positive views of the national economy were similar to a year earlier at 30 per cent, while positive views of the local economy dropped to 33 per cent from 41 per cent.
For retail, apparel and textile supply-chain businesses monitoring US operating conditions, the figures point to continuing caution around local demand and costs.
Despite inflation concerns, many owners still expect expansion: 66 per cent expect revenue to increase over the next year, up from 61 per cent in Q1 and close to year-ago levels.
The index also showed 35 per cent expect to add staff, compared with 30 per cent last quarter and 42 per cent in Q2 2025.
Cash-flow comfort eased only slightly, with 69 per cent comfortable with cash flow compared with 72 per cent in Q2 2025. Investment plans were weaker: 38 per cent said they plan to increase investment over the next year, almost unchanged from 37 per cent last quarter but below 47 per cent a year earlier.
“Small business owners are proving, once again, that they know how to adapt. Even with inflation topping the list of challenges, they are still confident in their own operations and expect more revenue growth and hiring in the year ahead. The message this quarter is one of measured confidence: small businesses are still looking ahead, even as they navigate a tougher cost environment.” said Tom Sullivan, senior vice president of small business policy at the US Chamber of Commerce.
It also cited a new US Chamber of Commerce Foundation survey which found small business employers using AI say it helps people work more efficiently, improves the quality of their work and allows them to take on more challenging tasks.
Fibre2Fashion News Desk
