Survey shows most U.S. small businesses are expecting, preparing for an impending recession

A new survey published this week by JP Morgan Chase showed a vast number of American small businesses are currently expecting – and preparing for – an economic recession. 

The results of the survey, which were released on Thursday, showed 61 percent of US small businesses (defined for the survey as companies whose annual revenues fall between $100,000 and $20 million) believe an economic recession is imminent, and are beginning to take steps to ready their companies for the fallout.

The overall survey results showed small and midsize business owners largely optimistic about their companies’ prospects even if a recession does befall the country – or the world.

About 72 percent of small business owners responded that they viewed their business’ financial year ahead in a positive light in spite of their economic concerns, and expressed their shared belief that by investing in their employees and adding valuable members to their staffs now they can avoid some of the damage that may result from a recession.

According to the survey, about half the respondents who own small businesses shared their intent to increase staff numbers and full-time employee numbers in the coming year.

The survey echoes other similar poll results from recent surveys that showed the majority of small business owners feared an upcoming recession.

In October of 2022, an Agency Forward poll found 70 percent of small business owners in the US were grappling with how best to prepare for a recession in the next 6 months.

A Wall Street Journal poll from mid-December showed American voters’ beliefs about an impending recession echo those of small business owners, with almost two-thirds of respondents saying the US economy is headed in the wrong direction.