Running a small business always comes with its fair share of challenges. If you find yourself endlessly guessing whether you’re making the right moves or the best decisions, you may want to get expert advice.
A great place to get help for your new or growing small business is from your local Small Business Development Center (SBDC), a resource partner of the US Small Business Administration.
Small Business Development Center (SBDC) advisors and consultants work with business owners every day to help them navigate obstacles and find opportunities. Its most recent annual report highlights how SBDCs helped over 317,480 small businesses and entrepreneurs during the prior year, creating 80,995 new jobs and 15,794 business starts.
“Entrepreneurs are very passionate and emotional (about their businesses),” explains Claudia Shah, SBDC advisor with Centro SBDC, part of Los Angeles Regional SBDC. “But they need a helping hand throughout their entrepreneurial journey. (SBDCs) provide that support, and best of all, it is at no cost. Use the resources so you can plan better and grow,” she adds.
Here are key insights from Shah and other advisors to help take your business to the next level in the coming year.
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Build a Solid Foundation
Starting a business without laying the groundwork makes it harder to stay in business for the long haul.
As Cindy Brown Fields, director of Virginia Highlands SBDC advises, "Too often, I see businesses that have great plans, but have not done enough customer discovery to withstand the first lean years in business. I recommend surveys, personal conversations, (and developing) a strategy to grow steadily with a lean budget before taking a leap into an expansive and expensive space.”
Before you launch, “run a proper startup-cost analysis,” says Amanda Salem Binder, MBA Finance, CGBP (Certified Global Business Professional) and consultant with Michigan SBDC Greater Washtenaw Region.
She recommends including the following top three expenses in that analysis: “paying yourself as the owner/employee, a cushion of six month’s worth of working capital, and carrying out an efficiently planned soft opening/grand opening.”
George Kimble, business analyst at Maricopa SBDC, recommends all business owners have these four elements in place:
- “A good accounting functionality that will be able to produce financial statements;
- The right business entity for their particular business needs and to make sure that the business entity has sufficient cash flow and financial strength;
- A local financial institution and to build a relationship with the banker/lender in that institution; and
- Adequate keyperson life insurance and business insurance.”
Tip: Nav offers a free checklist to help set up your business the right way.
Master Your Finances
Financial management emerges as the number one theme from business experts. If your business isn’t financially healthy, it won’t last.
"All business owners, whether new or experienced, should prioritize financial management. Keeping track of financial health is crucial," emphasizes Kimble. He also suggests business owners use AI to solidify the business plan and financial forecast, and to help make sure the business operates at a profit.
“Seek organic growth and know your break even numbers daily, weekly, monthly etc.,” suggests Salem Binder. Organic growth usually refers to growth that doesn’t come out of paid marketing. And while it can be harder to capture, it’s often the most valuable.
Navigate Economic Challenges
The experts highlight several economic challenges small businesses will face in 2025.
The main ones: “political, tariffs, resources, uncertainty,” suggests Shah.
Rising costs continue to be a significant hurdle, with Salem Binder noting: "Rising costs can make it difficult for small businesses to remain competitive."
Her practical guidance for handling economic uncertainty: “Know your numbers and don't get caught up in the noise. When supply costs go up, pivot... when consumers aren't buying, pivot... with tariffs, look for export opportunities and free trade zones.”
She acknowledges that inflation concerns add a level of uncertainty. “I think there is rising pressure from global money supply and ‘new territory’ that no one is familiar with. So we don't know where that is going at the moment, but hopefully we keep good global relations so inflation gets under control.”
Brown Fields identifies two major challenges for businesses that sell to consumers: "Less expendable income and the impact of large competitors like Amazon." These aren’t going to go away, so business owners need to find creative ways to differentiate their businesses on a budget, sometimes referred to as “guerilla marketing”.
While Kimble recommends business owners stay up with economic news, he also recommends small business owners “remain optimistic and be cautious about what they read in the newspapers or what they listen to on the radio and or television” and encourages them to “run their business as normal.”
Leverage Technology and AI
Technology adoption, particularly artificial intelligence (AI) tools for automation and efficiency, appears prominently in expert recommendations for 2025.
Shah recommends that businesses "Use technology and AI tools to be more efficient in operations and marketing."
Kimble says an increasing number of his clients are using AI, including to generate new ideas for their business.
Find Marketing Strategies That Work
In 2025's hyper-competitive landscape, marketing requires creativity and consistency.
Julianna Martinez-Barbee, SBDC director at New Mexico Small Business Development Center (NNMC), recommends focusing on video content: "Create a video marketing buzz plan. A 10-second engaging video can have more impact than a long written message."
Salem Binder encourages business owners to take a refreshing approach to marketing: "Have fun with it! Do what you're good at and find creative ways to connect with your audience."
She also notes a promising trend: "Businesses are implementing more brand symmetry—ensuring consistency in marketing across all platforms."
With market saturation being a concern in many industries, differentiation is key.
"Look at your competition—too many of any one kind of business won’t make it” cautions Brown Fields.
If your current business is stagnating or struggling, go back to basics, she suggests.
“Go back to day one and ask yourself how you grew your business to where it currently is,” she says. “Repeat those early day steps by reaching back out to old and current customers. Ask them to help you grow your business by one customer that they would recommend to you. On the shoulders of others, we can rise above the current tides and go beyond.”
Be Flexible and Have Fun
Adaptation emerges as a vital trait for successful businesses in 2025.
“The workplace is changing and digital transformation is essential to a growing business,” says Martinez-Barbee. “You need to see the potential in your employees and try to find the strengths each individual has and provide them with the tools and training to upskill and learn.”
The way customers shop and interact with businesses also continues to evolve. If you already own a business, focus on adapting to changing consumer habits, including “off online ordering and delivery,” says Brown Fields.
Her advice for product selection is equally strategic: "Look for products that are essential for customers, be cost conscious, (and) introduce other low cost products that help keep the utilities paid and offset inflation." She also recommends having a back up plan of domestic vendors.
The human element remains crucial to business success, even as technology advances.
Salem Binder offers a timely reminder about business relationships: "Remember to be kind in business. Frustrations are high, but professionalism and patience go a long way."
“Make sure to have alternative resources you can use to be successful,” suggests Kevin Tacchino, assistant director of Widener Small Business Development Center (SBDC). “Access to capital, technology, and consumer trends are all currently in a state of flux so the business you plan for today may not be an option tomorrow. Always be ready to pivot if needed.”
Martinez-Barbee tells entrepreneurs to "Embrace change! Success will happen with proactive planning (rather) than reactive resistance.”
And above all, don’t forget why you started your business in the first place.
“Passion matters,” emphasizes Martinez-Barbee. “The possibilities are endless if you're willing to put in the work. When you love what you do, you dedicate productive time to make your dream happen,” she adds. “Passion drives business owners to go beyond expectations, which leads to better products and better services that meet the needs of the customer. That passion will ignite your team.”
Next Steps for Business Success
As you plan your business strategy for 2025, consider these expert recommendations:
- Develop a solid business plan with financial sustainability at its core
- Consider incorporating technology and AI to improve efficiency and customer experience
- Adapt your marketing to include engaging video content and consistent branding across platforms
- Differentiate your business through unique offerings or cultural elements
- Stay informed about economic trends and adjust your strategy accordingly
- Maintain professional relationships even during challenging times
- Balance optimism with caution in your financial planning
By implementing these strategies, your business will be better positioned to navigate the opportunities and challenges that 2025 brings. Your local SBDC are available to help you succeed with personalized guidance and support.
“2025 will present its challenges for a variety of reasons,” says Shah, “but a good plan, financial projection, and your SBDC mentor can help you navigate any challenges you might face.”
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Gerri Detweiler
Education Consultant, Nav
Gerri Detweiler, a financing and credit expert, has been featured in 4,500+ news stories and answered 10,000+ credit and lending questions online. In addition to Nav, her articles have appeared on Forbes, MarketWatch, and Startup Nation. She is the author or co-author of six books, including Finance Your Own Business, and she has also testified before Congress on consumer credit legislation.