GoDaddy Small Business Research Lab Newsletter: Q4 2025
NORTHAMPTON, MA / ACCESS Newswire / December 18, 2025 / Originally published on GoDaddy LinkedIn
Subscribe Today for Quarterly Insights That Power Small Business Growth.
2025 Wrap-Up from the GoDaddy Small Business Research Lab
Welcome to our Q4 update and annual wrap-up on small and microbusiness activity across the United States, United Kingdom, Canada and Australia!
This has been an eventful year, and as we're all ready to wind-down before 2026 begins, let's jump right into our updates on the entrepreneurs with a digital presence and majority having fewer than 10 employees (over half solo entrepreneurs). There's a lot to share about their latest outlook and growth plans, where they are online and internationally, how they're using AI, and more.
Warmly,
Alexandra Rosen | Economist and Global Head, GoDaddy Small Business Research Lab
Data Hub - Which Industries and States grew the most in 2025?
The Microbusiness Data Hub has been refreshed through September 2025, capturing the latest shifts in entrepreneurship, geographically and by industry through our e-commerce data, excerpts below:
Top 5 Ecommerce Industries in 2025
Ranked by growth in entrepreneurs
Rank #1: Software & IT: +23%
Rank #2: Auto: +19%
Rank #3: Home Services: +18%
Rank #4: Travel: +17%
Rank #4: Religion: +16%
excerpt from U.S. edition of the GoDaddy Small Business Research Lab Annual Report
Top 10 States By Microbusiness Count
State
Active
Microbusinesses
Q3 '25
1 Year
Microbusiness
Count Change
Microbusiness
Density
Q3 '25
California
3,911,254
1%
9.9
Florida
2,472,670
4%
10.6
Texas
1,936,827
4%
6.2
New York
1,804,154
2%
9.1
Georgia
786,792
2%
7.0
Illinois
782,117
1%
6.2
Washington
723,217
3%
9.1
Pennsylvania
717,586
2%
5.5
New Jersey
684,977
2%
7.2
Arizona
638,607
1%
8.4
excerpt from U.S. edition of the GoDaddy Small Business Research Lab Annual Report
2025 Annual Report - From Resiliency to Resolve: The State of Small and Microbusinesses is live!
Small businesses have always been resilient. This year we are seeing something else too. Entrepreneurs are moving forward with intention and conviction. They are not just adapting, but they are committed, and staying present.
Over 70% of U.S. small business owners are confident they will achieve their definition of success in their lifetime. With AI reshaping how they grow, the outsized local economic impact is scaling faster than ever. Read our 2025 wrap-up report on their outlook, plans to hire, and where you can find them online and nationally.
Link: https://www.godaddy.com/research/explore-the-data/annual-report-2025/
Majority have neutral to positive expectations of Nov-Dec 2025 sales compared to 2024
Lower: 26%
No Change: 37%
Higher: 29%
Small business outlook on revenue over the next 6 months is cautiously optimistic
Negative: 24%
Positive or No Change: 66%
excerpt from U.S. edition of the GoDaddy Small Business Research Lab Annual Report
Majority of entrepreneurs have changed how they define success since childhood
84% say their definition has changed from slightly to completely
47% completely agree
37% yes, slightly
Definitions of success by entrepreneurs
53%: Living comfortable lifestyle with financial security
43%: Freedom to pursue passions/goals
37%: Feeling happy with life
27%: Being able to pay off debt
26%: Being own boss
21%: Having something to leave children
21%: Impacting community
17%: Fulfilling career
13%: Owning my own home
72%: Seventy-two percent of entrepreneurs feel confident they'll achieve success in their lifetime.
excerpt from U.S. edition of the GoDaddy Small Business Research Lab Annual Report
Introducing two new public GPTs on ChatGPT
One annual report is great, but how about all of them since 2020? This quarter we are introducing a new way to access and interact with our data: GoDaddy has published its first public GPT on ChatGPT. It gathers all of our published reports since 2020, including our special editions of research with UCLA Anderson Forecast and Frontier Economics, into a single, conversational tool.
You can explore regional differences, long-term impact and industry trends, survey results spanning 5 years, and the stories that sit beneath the data. Search "GoDaddy" under the Explore section of ChatGPT or use this link: research.godaddy/gpt
We've also released another GPT just for our US data, accessible here: http://research.godaddy/data. It leverages an API to parse the data, which you'll need to approve once, and we invite you to explore it and even try to break it! Welcome your thoughts on it. (See images above)
Economic Impact Update from the United Kingdom
Since 2023, GoDaddy has partnered with Frontier Economics to capture the outsized impact made by UK microbusinesses on their local economies. In 2025, UK microbusinesses continued to boost local economies at higher rates than before.
Last year, a 10% rise in small digital businesses was linked to an average pay increase of about £320 for full time workers. This year, that figure has grown to £360.
The link with jobs has also strengthened. Each additional small digital business for every thousand people is now associated with about 5 extra jobs in that area.
The research also finds that digital business growth is good for productivity. A 10% increase in small digital businesses is linked to a .37% rise in GDP per capita. For a typical local authority of 200,000 people, this would translate to over £26 million in additional GDP.
Behind every data point is a person choosing to build something. Blossom and Grow Florist in Harlow is one example. Owner Rachel Brennan used digital tools to reach more customers, support her family and stay closely connected to her community.
Link: https://www.godaddy.com/research/wp-content/uploads/2025/12/The-impact-of-microbusin[...]ocal-economic-outcomes-in-the-UK-_-2025-update-13-11-2025.pdf
Recent Press
United States
Stadium District Powers Small Business Momentum Denver is emerging as one of the most active small business ecosystems in the country, with areas around Empower Field showing steady economic gains supported by visitor foot traffic.
Link: https://www.denver7.com/news/local-news/empower-field-is-empowering-small-businesses-research-ranks-denver-among-the-top-in-the-country-for-local-economic-growth
United Kingdom
Small Business Density Doubles in Tottenham New reporting shows that small business creation in Tottenham has doubled over four years as major events bring more people and investment into the area.
Link: https://www.smetoday.co.uk/news/tottenhams-small-business-scene-doubles-as-major-events-transform-the-area/
United Kingdom
Remote Island Business Thrives With Global Customers A Scottish island business is growing through domain strength, website visibility and social reach. It shows how digital tools help even the most remote entrepreneurs serve customers worldwide.
Link: https://www.thisismoney.co.uk/money/smallbusiness/article-15184877/Were-small-business-remote-Scottish-Island-thanks-TikTok-customers-Australia.html
Subscribe Today for Quarterly Insights That Power Small Business Growth.
View additional multimedia and more ESG storytelling from GoDaddy on 3blmedia.com.
Contact Info:
Spokesperson: GoDaddy
Website: https://www.3blmedia.com/profiles/godaddy
Email: [email protected]
SOURCE: GoDaddy