Business
Umpqua Bank 2025 Business Barometer: U.S. Businesses Report Steady Outlook Amid Tariff, Economic Uncertainty
Nearly half of businesses expect the economy to improve in the next 12 months, including 60% of middle market companies and 44% of small businesses—a
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[{"type":"text","content":"Nearly half of businesses expect the economy to improve in the next 12 months, including 60% of middle market companies and 44% of small businesses—a four-year high\nSmall Business: 12-month outlook jumps 14 points; key growth indicators rebound from 2024Middle Market: Strong optimism persists as 69% prioritize growth over cost-cutting Tariff Impact: 5 in 10 plan to stockpile inventory, absorb cost increasesGenerative AI: Adoption leading to increased staffing levelsCybersecurity: 3 in 10 feel very well prepared to prevent attacksTACOMA, Wash., June 17, 2025 /PRNewswire/ -- Umpqua Bank today released the findings of its seventh annual Business Barometer, a nationwide study into the mindset and priorities of small and middle market businesses. Despite a mixed outlook over the economic headwinds, including the potential impact of global tariffs, businesses across the U.S. report measured optimism about the direction of the economy and their 12-month prospects for growth compared to a year ago.\n\n \n \n \n \n \n \n\n \nUmpqua Bank's 2025 Business Barometer survey polled nearly 1,300 small businesses ($500K-$10M) and middle market companies ($10M-$500M) across the U.S. about their economic outlook, business prospects, investment opportunities and adaptions to a range of issues including AI, cybersecurity and tariffs.\nWhile inflation persists as a top concern for 60%, and 51% expect negative impacts from tariffs, overall optimism about the current economy remains strong for middle market companies (62%) and is up slightly for small businesses (32%). The 12-month outlook also spiked to near or at four-year highs for both sectors. Nearly 5 in 10 of all businesses surveyed anticipate improved conditions, and a record number of middle market (66%) and small businesses (36%) will likely seek financing for growth in the year ahead.\n\"This year's survey reminds us once again why small and middle market businesses are the backbone of our economy. Their grit and determination are sturdy enough to withstand current economic and global trade uncertainty,\" said Umpqua Bank President Tory Nixon. \"After optimizing their businesses through a pandemic and the ensuing challenges of the past few years, decision-makers remain clear-eyed about potential headwinds and clear-headed about what's needed to move forward.\"\n2025 Business Barometer Highl...