About this Report
The 2026 Business Insights Trends Report is the second annual survey by Fora Financial, providing a window into how business owners are navigating today's economic landscape and strategically positioning themselves for future success.
Now in its second year, the report introduces year-over-year comparisons across key topics, alongside new coverage of timely issues including AI adoption, tariff impacts, and Federal Reserve rate changes. Drawing directly from business owners, these findings offer valuable perspective on both the challenges and opportunities shaping the business landscape in 2026.
At Fora Financial, our commitment to business success begins with understanding your unique needs and challenges.
Research Methodology
This report is based on an online survey conducted by Fora Financial of over 300 business owners. The survey was fielded during February and March 2026 and participation was voluntary. Respondents received an incentive for completing the survey.
The findings reflect the perspectives of a sample of business owners who chose to participate and may not be fully representative of the broader business population. All responses were self-reported and have not been independently verified.
Respondent Overview:
We surveyed over 300 business owners
Key Findings
Business Owners Remain Resilient as Pressures Shift
Optimism is holding steady, with 76% of business owners expecting revenue growth and more than half anticipating favorable economic conditions. Underneath that optimism, pressures have shifted. Inflation is becoming less severe while tariffs and rate uncertainty are rising.
Technology & AI Are Becoming Signals of Growth
More than half of business owners increased their use of technology in the past year, and 39% are already using AI. Businesses expecting strong revenue growth are significantly more likely to be using AI, highlighting a growing link between technology investment and future performance.
Financing Activity Is Rising, But Cost is Now the Primary Barrier
Business owners are engaging with financing more regularly, with online lenders continuing to lead. However, both high interest rates and unfavorable repayment terms have become more prominent challenges, while speed and simplicity are becoming table stakes.
Expectations of Lenders Are Rising and Reshaping Relationships
Transparent pricing and flexible repayment options now rank as the most important attributes in a financing partner, while interest in long-term, strategic relationships has declined sharply. Trust is increasingly built through clear, consistent interactions rather than assumed over time.
2026 Business Owner Outlook
76%
Expect Revenue Growth
vs 77% in 2025
Three in Four Business Owners Expect Revenue Growth, Consistent With Last Year
Despite ongoing cost and operational pressures, optimism among business owners remains steady. 76% expect revenue to grow over the next 12 months, nearly identical to 2025 (77%), signaling a stable outlook even as conditions continue to evolve.
What are your revenue expectations for your business over the next 12 months?
New in 2026
Tariffs entered the list at 12%, ranking 8th among challenges.
Cash Flow Remains the Top Challenge, but Pressures are Shifting
Cash flow remains the top challenge for business owners, cited by 55% of respondents in 2026, nearly identical to last year (54%).
Beneath that consistency, the mix of pressures is shifting. Staffing and labor costs increased 6 points YoY, while economic uncertainty declined 8 points, suggesting a shift away from broader economic concerns toward more operational challenges.
What are the top 3 challenges that are currently impacting your business? Select up to 3. Note: New in 2026 indicates a new answer option added to the 2026 survey.
52% expect favorable conditions in 2026, up from 48% last year
21% expect unfavorable conditions, essentially unchanged from 2025
More than Half of Business Owners Now Expect Favorable Economic Conditions
Economic sentiment is improving modestly, with 52% of business owners expecting favorable conditions, up from 48% in 2025. While optimism is now the majority view, a meaningful share remain cautious.
Notably, economic outlook also varies by industry. Construction businesses are the most optimistic, with 63% expecting favorable conditions. Food Services owners were the most cautious, with only 34% expecting favorable conditions and 42% taking a neutral stance.
How favorable do you expect economic conditions will be for businesses over the next 12 months?
Inflation Pressures are Easing, but Remain Widespread
The Impact of inflation is becoming less severe but continues to affect most business owners. The share reporting a significant increase in operating costs fell from 35% in 2025 to 20% in 2026, marking a meaningful turning point.
At the same time, 80% still report at least moderate cost increases, indicating that inflation remains a broad and persistent pressure. The story of 2026 is not that inflation has subsided, but that business owners are adapting and managing these pressures more effectively.
To what extent has inflation impacted your business's operating costs over the past 12 months?
8 in 10 business owners report higher operating conditions due to inflation.
Business Owners are Protecting Margins from Both Sides
Business owners are responding to inflation pressures on multiple fronts. The most common responses are raising prices (56%) and reducing operating costs (48%), reflecting a coordinated effort to protect margins.
Seeking additional funding ranks third at 38% highlighting the role of capital in absorbing pressure without having to pull back entirely. Compared to a year ago, fewer businesses are delaying major investments (36% vs 41%), a sign that many are continuing to move forward despite ongoing challenges.
What steps, if any, are you taking to mitigate the impact of inflation on your business? Select all that apply.
Nearly 3 in 4 Business Owners Feel the Impact of Tariffs
Tariffs and trade policy are emerging as a meaningful new pressure for business owners. In 2026, 73% reported some level of impact, most commonly through higher supply costs (66%), reduced margins (41%), and pressure to increase prices (40%).
To what extent have tariffs or trade policies impacted your business operations in the past 12 months?
Which aspects of your business have been affected by tariffs or trade policies? Select all that apply.
73% of business owners say that tariffs or trade policies are impacting their business operations.
Rates & Economic Uncertainty
Rate Changes are Shaping How Business Owners Approach Financing
Interest rate changes are influencing financing decisions for many business owners, with 60% reporting some level of impact.
Responses to rate uncertainty vary, with some owners more likely to seek financing and others taking more cautious, wait-and-see approach. Only 34% report no impact, and just 6% are unaware of recent changes, suggesting that most business owners are staying informed and actively factoring rate conditions into their decision making.
How, if at all, have changes to Federal Reserve interest rates influenced your business financing decisions?
Technology & AI
Over Half of Business Owners Increased Their Use of Technology
Technology is becoming an increasingly important part of how business owners operate and adapt. In 2025, 53% reported increasing their use of technology, with the strongest growth in marketing, communication, and operations.
Adoption is even higher among larger businesses. Among those generating over $1M in revenue, 62% increased their use of technology, suggesting that larger businesses are leading technology's momentum.
In which areas of your business has the role of technology increased in the past year? Select all that apply.
53% of business owners increased their use of technology in the past year
AI Adoption is Closely Linked to Business Growth Expectations
AI adoption is gaining traction, with 39% of business owners already using AI tools and another 8% planning to implement them within the next year. Combined, nearly half of businesses are at or near active AI adoption. Notably, the relationship between AI use and business outlook is striking. Business owners expecting significant revenue growth are more than three times as likely to already be using AI compared to those expecting a decline, suggesting a strong link between AI adoption and forward-looking growth strategies.
Are you currently using or planning to use artificial intelligence (AI) tools in your business?
Marketing Content Leads AI Adoption
Among businesses using or planning to use AI, marketing content creation leads all use cases at 67%, pacing well ahead of other applications.
Data analysis (45%), customer service (44%), and sales outreach (42%) follow, indicating that AI is being applied across both customer-facing and operational functions.
In which areas are you using or planning to use AI? Select all that apply.
The Financial Landscape
Borrowing is Becoming More Balanced Between Growth & Stability
Business expansion remains the top motivation for borrowing at 45%, but it declined 7 points from last year, signaling a shift away from purely growth-oriented borrowing.
At the same time, refinancing existing debt increased to 42%, and seasonal cash flow needs emerged as a new driver at 41%. Together, these trends suggest a more balanced approach, with business owners using financing not only to grow, but also to manage obligations and smooth out cash flow cycles.
Looking ahead to the next 12 months, what might motivate you to borrow money for your business?
Select all that apply.
Note: New in 2026 indicates a new answer option added in the 2026 survey.
