American small businesses are expressing increased optimism about revenue growth in 2025, according to a recent report by MetLife and the U.S. Chamber of Commerce. A significant 72% of small businesses surveyed anticipate increased revenues next year, compared to 65% the previous year. This positive outlook suggests a potential surge in opportunities for small businesses as they navigate the evolving economic landscape.

Bradd Chignoli, a senior executive at MetLife, highlighted this rising optimism as a promising indicator for the coming year. He emphasized the importance of leveraging available resources, such as voluntary benefits, to enhance company culture and attract talent in a competitive job market.

The Small Business Index, a joint effort by MetLife and the U.S. Chamber of Commerce, gauges the expectations of small business owners and leaders. The survey, conducted in October before the election results, gathered responses from 750 participants. While holiday shopping remains crucial for profitability, it's slightly less so than in the previous year.

Former President Donald Trump at a past campaign event. (AP Photo/Evan Vucci, File)

Inflation continues to be the primary concern for small business owners, as it has been for the past couple of years. However, more business owners perceive both the national and local economies as healthier compared to the same time last year. This improved economic perception is a positive sign, though inflation remains a persistent challenge.

Bureaucracy, including licensing, certification, and permit requirements, is a significant hurdle for small business growth, according to 51% of respondents. Nearly half of the surveyed businesses reported spending excessive time and energy on regulatory compliance, diverting resources from core business operations.

A positive sign: Many business owners report healthier local economies. (iStock)

Tom Sullivan, Vice President of Small Business Policy at the U.S. Chamber of Commerce, emphasized the burden of regulations on small businesses, even for those capable of handling compliance. These requirements often distract owners from focusing on business growth and innovation.

A growing number of businesses are dedicating more time and resources to regulatory compliance, up from 33% in the previous quarter to 39% currently. Tasks like taxes, bookkeeping, payroll, and licensing consume a substantial amount of time for business owners.

The overall index score dipped slightly this quarter, likely due to the increased burden of regulatory compliance. Small businesses have faced numerous challenges in recent years, including escalating inflation and its impact on consumer spending. During the recent election cycle, then-candidate Trump focused on lowering costs for Americans, a key concern for small businesses struggling with economic pressures.

Former President Donald Trump at a campaign rally in Coachella, California. (Mario Tama/Getty Images)

During his campaign, Trump pledged to prioritize policies that support economic growth, including lower taxes, reduced regulations, and lower energy costs. He emphasized his focus on putting America first in economic decision-making and highlighted his efforts to protect the economy during the pandemic.