America's small business owners are expressing optimism for 2025, while also facing economic challenges and looking to Washington for support. A recent national survey by Goldman Sachs 10,000 Small Businesses Voices highlights their concerns and needs.
Small businesses across the United States are planning to expand in the coming year but require Congress and the new administration to prioritize tax reform, address inflation, enhance workforce development, reduce regulatory red tape, and improve access to capital. Jessica Johnson-Cope, president of the Bronx-based Johnson Security Bureau, Inc., stated: "Small business owners are optimistic, but that doesn’t mean we aren’t facing real challenges."
Tax complexity is a significant concern for many. Over half (60%) of survey respondents want Congress to simplify the tax code due to confusing provisions and hard-to-use credits. Additionally, 73% feel the federal tax code is unfavorable for small businesses. Johnson-Cope added: “We’re not asking for special treatment—we’re asking for a tax system that doesn’t trip us up.”
The survey also reveals that burdensome regulations hinder growth, with 57% citing regulatory red tape as an obstacle. An overwhelming 95% believe federal programs need updating to reflect current realities faced by small businesses. With new leadership at the Small Business Administration (SBA), nearly nine in ten (89%) want modernization efforts focused on increasing access to capital (50%), reducing regulatory burden (47%), supporting workforce development (34%), updating communication systems (34%), and increasing procurement goals and accountability (32%).
Innovation remains crucial for competitiveness; 80% of small business owners using AI report increased efficiency. However, 44% lack resources or expertise for successful deployment, while 76% support government policies aiding technology adoption.
Jill McCarthy from Goldman Sachs 10,000 Small Businesses Voices emphasized: “Small business owners aren’t just watching—they want a seat at the table as Washington tackles big issues in 2025.” The survey involved 1,188 participants conducted by Babson College and David Binder Research from February 10th-17th, including respondents from various U.S. states and territories.