FDIC-Insured - Backed by the full faith and credit of the U.S. Government

 

Live Oak BusinessPulse 

Insight and Analysis of Small Business Sentiment and Economic Trends

The BusinessPulse provides detailed analysis and reporting on small business sentiment, including economic position, economic confidence, and credit outlook for small and middle market companies. Take a deep dive into the Q2 data and discover how businesses feel about their past performance and what they expect in the next 12 months.

Download

20_LOB_Illustrations_Indigo_Business Pulse

Dedicated to the Doers®

Small business is the backbone of our country. It drives jobs, creates prosperity and boosts local economies. We’re proud to contribute to that growth by investing in America’s small business owners. When you bank with Live Oak, you can be proud too.

key takeaways

small-business-strained-financial-conditions-illustration

 

Financial Conditions Continue to be Strained

Small business financial conditions continued to be strained. More small businesses have seen decreased rather than increased sales, profits and excess cash reserves.

small-business-economic-optimism-illustration

 

Small Business Optimism Dwindles Amidst Financial and Economic Concerns

Reduced sales and profitability challenges have decreased optimism among small business owners about the future of their financial condition and the U.S. economy. Tariffs are a growing concern, and many continue to worry about the increasing cost of doing business.

small-business-credit-demand-increase-illustration-1

 

Demand For Additional Credit is Declining

Demand for additional credit ticked down in the second quarter of 2025. Not only did fewer small businesses apply for additional credit, but over a quarter have financed operations with a credit card.

Source: Live Oak Q2 2025 BusinessPulse Survey Results (Powered by Barlow Research)

About Barlow Research

Barlow Research surveys more than 2,800 companies annually across the U.S. to gather current viewpoints and draws on years of data to provide in-depth research on economic trends to the commercial banking sector. Barlow has a long-standing relationship with Live Oak Bank, primarily through powering the BusinessPulse. In addition, Barlow Research has provided industry analysis for vertical selection, competitive intelligence on the digital account opening and lending processes. Live Oak Bank is also a member of Barlow Research’s flagship Small Business Banking program. 

Joel Mueller
Managing Partner & Research Director
jmueller@barlowresearch.com | 763.253.1806
Barlow Research Associates, Inc.
917 Lilac Drive North, Minneapolis, MN 55422