April 15, 2025 — Nearly half of U.S. small businesses and mid-sized companies are racing to navigate how to price goods and services amid tariff uncertainty. 

Crisil Coalition Greenwich interviewed small and mid-sized companies for its Q1 2025 Greenwich Market Pulse study and 47% are actively considering raising prices as a means of mitigating risks related to new tariff policies.

Roughly eight out of 10 small businesses and mid-sized companies said they are concerned that new tariffs could have negative implications for their businesses, which has contributed to a swift decline in the economic outlook among commercial business owners and executives.

In the latter half of 2024, the Greenwich Optimism Index, which quantifies the economic outlook among owners and executives of small businesses and mid-sized companies, soared to its highest level since 2021. Since that time, the Index has fallen by more than 50 points, indicating that many businesses expect economic conditions to deteriorate over the next six months.

“There has been a dramatic reversal among U.S. small businesses and mid-sized companies in the span of less than six months,” says Chris McDonnell, Head of Commercial and Digital Banking Analytics at Crisil Coalition Greenwich. “Owners and executives at these companies went from thinking about how to grow their businesses to contemplating price hikes and other actions to sustain their businesses in the face of tariffs and a possible economic downturn.”

Amid Uncertainty, Companies Look to Banks for Help
Companies participating in the Greenwich Market Pulse study say banks who help make their lives easier in this time of uncertainty will position themselves to win more business. When asked what factors they consider when allocating their spending “wallet” to a given bank, half of companies cited “ease of doing business.” When asked which factors make a bank easy to work with, 75% cited the responsiveness of the relationship manager.

“Companies want banking partners that are proactive and can simplify processes in order to help them navigate market volatility,” says Chris McDonnell. “In most cases, it is the relationship manager who provides the support and expertise that helps businesses mitigate risk and capitalize on opportunities in uncertain times.”

Companies Also Seek Support from Non-Traditional Providers
Approximately 16% of small businesses and mid-sized companies plan to switch to a non-traditional provider for some banking services in the next year. Companies are increasingly considering non-traditional providers to secure what they think could be faster loan approval and funding, more flexible repayment terms and lower interest rates or fees.

“The best way for banks to fend off these new competitors is to enhance the quality of customer service, improve banker performance, in terms of both faster response times and better advice, and, where appropriate, compete on fees,” says Chris McDonnell.