News Summary
A recent KeyBank survey highlights that nearly 25% of small business owners in Cleveland are in ‘survival mode’, focusing on immediate survival rather than long-term planning. Economic pressures, particularly rising costs and inflation, lead to concerns over performance and future planning. The data indicates a mix of caution and confidence as owners navigate a challenging landscape, with many striving to adapt and build financial resilience despite ongoing uncertainties.
Cleveland, Ohio – A recent survey by KeyBank has revealed that nearly one in four small business owners are currently in “survival mode,” prioritizing immediate survival over long-term planning as they face rising costs and economic uncertainty. The survey, conducted in July 2025, included 2,144 respondents from KeyBank’s 15-state footprint whose businesses gross under $10 million.
Approximately 46% of small business owners have expressed that their performance has not met their expectations for 2025. This decline in performance is accompanied by a growing uncertainty, with 46% of business owners expressing confidence in their ability to cover one full month of operating expenses in case of emergencies, a slight decrease from 49% in 2024.
Despite these challenges, 40% of respondents are planning cautiously for the future. However, inflation and rising costs remain the primary concern for half (50%) of the small business owners surveyed, far surpassing other concerns such as competition (33%), cash flow issues (25%), and labor shortages or hiring challenges (22%). The impact of expected federal legislative changes in late 2025 is also troubling; 72% of small business owners have expressed significant concern about this.
While 80% of small business owners feel confident about making informed decisions despite the uncertainty, many admit to second-guessing themselves. This reflects a broader sentiment of apprehension and caution across the sector as owners navigate an increasingly volatile economic landscape.
KeyBank’s president of business banking has underscored the dedication and tenacity exhibited by small business owners, noting their ability to adapt in the face of such economic challenges. The mixed outlook portrayed by the survey indicates that while small business owners are facing significant pressures and changes in the market, many are striving to build stronger financial foundations.
The data collected from the survey highlights the ongoing effects of tariffs and rising costs on pricing strategies. About 25% of small business owners have indicated that they have had to increase prices due to these pressures. Additionally, concerns over cybersecurity are prominent, with 41% of respondents noting payment fraud as their top issue—further complexities that small businesses must address.
A related survey from KeyBank, the Middle Market Sentiment Pulse Survey, reflected a nearly even split among business owners regarding their views on the implications of tariffs—with 49% viewing them positively and 51% negatively. The president of Key’s commercial bank remarked on the critical need for stability in tariff policies to facilitate better planning and adaptation for businesses.
In conclusion, as small business owners continue to grapple with economic pressures and an uncertain market, the survey results encapsulate a landscape of both struggle and resilience. With a range of challenges requiring immediate attention and long-term strategies, the future remains uncertain, yet many small business owners are committed to navigating these hurdles head-on.
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Additional Resources
- PR Newswire: One in Four Small Business Owners Are in Survival Mode
- CSR Wire: KeyBank and Cleveland Cavaliers Continue Commitment to Community
- Crain’s Cleveland: KeyBank Survey Shows Companies Grappling with Tariffs
- Encyclopedia Britannica: Small Business
- Google Search: Small Business Survival Mode
Author: STAFF HERE CLEVELAND WRITER
CLEVELAND STAFF WRITER The CLEVELAND STAFF WRITER represents the seasoned team at HERECleveland.com, your premier source for actionable local news and information in Cleveland, Cuyahoga County, and beyond, delivering "news you can use" with in-depth coverage of product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news impacting the region—backed by years of expert reporting and robust community input, including local press releases and business updates, while providing top reporting on high-profile events like the Rock and Roll Hall of Fame inductions, Cleveland International Film Festival, and holiday parades, alongside key organizations such as the Cleveland Clinic, Cleveland Orchestra, and Great Lakes Science Center, plus leading businesses in manufacturing and healthcare like Sherwin-Williams and University Hospitals, and as part of the broader HERE network including HEREDayton.com, offering comprehensive, credible insights into Ohio's vibrant landscape. HERE Cleveland HERE Dayton
