2024 is a make-or-break year for small businesses, says Slack survey

According to a recent Slack survey of 2,000 small business owners, 40% believe 2024 will either “make or break” their business.

Small businesses constitute approximately 44% of the Gross Domestic Product (GDP) and actively support the foundation of the American economy. Yet, they are under continual pressure to manage a dynamic environment that presents both opportunities and obstacles for growth.

While 71% of the 2,000 business owners surveyed expressed optimism about the state of their companies, 47% of the respondents were concerned about the economy and inflation, and 32% were worried about raising prices. Furthermore, increased competition worried 24% of the business owners.

Jaime DeLanghe, senior partner of product management at Slack, said, “The margin for success is often razor thin, meaning small businesses need to be forward-looking, resilient, and adaptable even amid current economic climate challenges.” She continued, “While our survey found most performed better than expected in 2023 and are optimistic about 2024, it shows many are still looking for ways to improve results despite limited resources and technological capacity.”

The survey also revealed that many small business owners were able to surpass their own expectations with the use of technology, particularly artificial intelligence (AI).

Nearly half (49%) claimed their companies outperformed their expectations, while 21% or one in five indicated they did worse.

Ultimately, over half of respondents stated they want to buy new software for 2024, and over one-third of respondents stated they are eager to update or add new tech tools to their operations this year.