The June 2025 Small Business Earnings Report from Biz2Credit highlights steady progress in the financial performance of U.S. small businesses, even as operational costs remain high and inflation continues to shape decision-making. Based on data through May 2025, the report reveals modest gains in earnings and revenue, suggesting cautious optimism among business owners heading into the summer.
According to the report, average earnings rose to $49,300 in May, an increase of $1,600 compared to April. Revenues also climbed by $25,200 to reach $547,600, while expenses rose by $23,600 to $498,300. Although these figures reflect month-over-month improvement, they also underscore ongoing financial pressure: average earnings were down $42,700 compared to May 2024.
Inflation remained relatively stable at 2.4%, up slightly from 2.3% in April. This marks the fifth consecutive monthinflation has held below 3%, a key indicator that price pressures may be easing for small business operators.
The report emphasizes that, despite these gains, many small businesses are still navigating uncertainty, particularly in light of broader economic concerns such as tariff negotiations. However, improved consumer confidence and consistent inflation control suggest a more favorable operating environment than in recent years.
Biz2Credit’s analysis of earnings trends signals the importance of continued financial discipline and adaptability. With revenues and earnings on the rise, small businesses are better positioned than they were earlier in the year, but careful cost management remains essential.
Overall, the May data points to a slow but measurable recovery in the small business sector, highlighting the resilience of entrepreneurs in the face of evolving economic conditions.