Business
October Small Business Pulse
Resilience holds: profitability moderates but remains solid, payroll growth broadens, and a spotlight on cyber preparedness
October 29, 2026
What we're seeing
- Profitability downshifts slightly but continues trending higher: Our proxy for business profitability moderated further in September, but remains elevated from the start of the year, suggesting that the financial health of businesses continues trending in the right direction.
- Payroll expansion broadens: The net share of businesses expanding payrolls year-over-year moved slightly higher in September (19%), and median payroll growth remained at 5%, suggesting that labor investment has broadened among small businesses at rates consistent with the those reported in recent months.
- Cyber preparedness becomes standard practice: Most owners don't expect an imminent cyber threat, but they’re investing in preparedness as fraud stays common and AI makes scams harder to spot.