Small Business Economic Trends Report for March 2026

This document is a report detailing the Small Business Economic Trends for March 2026, focusing on various indices affecting small businesses. The Small Business Optimism Index decreased to 95.8, falling below its historical average, with eight of the ten components declining. The Uncertainty Index rose to 92, indicating increased uncertainty among business owners regarding economic conditions. The Employment Index showed a decline, with 32% of owners reporting unfilled job openings. Additionally, planned and actual labor compensation decreased, although levels remained above historical averages. Capital spending also saw a decline, with only 16% of owners planning capital outlays in the next six months. Sales expectations dropped as well, with a net -5% of owners reporting higher nominal sales. The report highlights various challenges faced by small businesses, including labor quality, inflation, and taxes, which were identified as significant issues impacting operations. Overall, the report presents a comprehensive view of the current economic landscape for small businesses.