Executive Summary

This report provides an overview of how small business owners in the home and field service industries are planning for and responding to key business challenges in 2025. The core insights are drawn from a survey of EverPro customers conducted at the end of March 2025 with 256 respondents. This report reflects insights drawn from the March 2025 survey, which serves as the statistical foundation for our findings. Responses highlight key trends and challenges facing small businesses in the home and field service industries, with an emphasis on optimism, growth strategy, and operational innovation.

Methodology

The March 2025 survey targeted small business owners across the home and field service sector—including HVAC, construction, landscaping, and similar trades for the United States. Most businesses surveyed had between 2–10 and 11–50 employees and had been in operation for more than five years. Respondents were asked to assess their business confidence, hiring outlook, investment priorities, AI adoption, and the impact of global economic shifts.

Respondent Business Profile

• 96% of respondents are in Home & Field Services
• 71% have between 2–50 employees
• 62% have been in business for over 10 years
• Most use digital and traditional marketing channels to attract customers
• Primary concerns include inflation, supply chain disruptions, and labor shortages

Economic Outlook & Business Sentiment

Heading into 2025, small business owners in the home and field services industry expressed measured confidence in their growth potential. A combined 75% reported being either “somewhat” or “very” optimistic about business growth. Neutral sentiment accounted for 17.9%, while just 7% expressed pessimism. (1) Optimism appeared slightly higher among businesses employing 11 or more staff, indicating that slightly larger firms may feel more equipped to navigate economic uncertainty. However, there wasn’t a clear correlation between optimism and the number of years in operation, with newer businesses also demonstrating strong optimism. (2)(3)

When asked to rank which economic factors most affected their planning, respondents consistently identified the following top concerns: inflation, supply chain disruptions, tariffs and trade policies, and labor market conditions. (4) These concerns align with open-ended feedback citing rising vendor costs, unpredictable pricing, and sourcing volatility as top stressors. (5)

Small businesses expressed measured optimism, balanced with caution around inflation, labor shortages, and unpredictable material costs—highlighting a need for proactive planning and strategic investment in 2025.

As small service businesses brace for continued economic pressure, it’s never been more critical to optimize how they operate and plan for growth. Whether navigating inflation, uncertain pricing, or cautious consumer behavior, having full visibility into your operations—and being able to engage the right customers at the right time—can help businesses stay resilient and ready.

Solutions like Service Fusion help businesses control costs and streamline operations with centralized tools that bring clarity and efficiency to every job. Meanwhile, MarketSharp empowers companies to nurture prospects and build pipeline predictability through powerful CRM and marketing automation.

To explore how these tools can safeguard your workflows and strengthen supply operations, learn more at EverProSolutions.com.

Spending Plans & Resource Allocation

Most small businesses surveyed signaled a strong anticipation to spend more in 2025. Over 68% reported plans to increase spending in 2025. Only 8% anticipated any spending cuts, with the remaining 23% planning to maintain their current budgets. (6)

When asked to identify the biggest challenge or opportunity for the year ahead, many cited the potential for growth, balanced against rising operational costs. Business owners expressed interest in expanding service offerings, entering new markets, and upgrading tools to improve efficiency—provided the economic environment remains stable.

Despite inflation, rising wages, and persistent cost pressures, a majority of small service businesses plan to increase spending in 2025. This isn’t just a response to economic headwinds—it’s a proactive investment in competitive differentiation, operational efficiency, and customer retention. Strategic spending decisions are becoming essential for businesses looking to grow in a high-cost environment.

Tools like Improveit 360 help businesses manage lead flow, estimate conversion, and campaign ROI—making it easier to prioritize the investments that deliver the highest returns. Meanwhile, Invoice Simple empowers businesses to get paid faster, streamline cash flow, and reduce administrative overhead through mobile-first invoicing.

To explore how these tools can help you spend smarter and drive growth, learn more at EverProSolutions.com.

Tariff Impacts & Supply Chain Shifts

In our survey, only 33.5% of businesses reported that tariffs had already affected their operations, though 46.3% say that while they were not currently impacted, they expect to be. (7)

When asked about their biggest supply chain challenges this year, respondents frequently pointed to cost fluctuations, with 33% identifying it as their most pressing issue. Other notable challenges included supply and fulfillment issues (12.5%), inventory management difficulties (11.9%), workforce shortages (8.7%), and logistics delays (8.1%). (8) Despite these issues, the majority of businesses (approximately 72%) reported not making significant strategic adjustments, suggesting either confidence in their existing strategies or hesitation to undertake potentially disruptive changes due to instability in foreign trade policies. (9)

Even as material costs and supply chain uncertainty remain high, small businesses can take proactive steps to build operational resilience. While many haven’t yet changed their strategies, those that embrace digital tools for vendor coordination, inventory tracking, and scheduling are better positioned to adapt quickly and protect margins.

Solutions like Service Fusion enable seamless coordination across dispatching, inventory, and invoicing, helping businesses avoid costly disruptions. For more complex service operations, Fieldpoint delivers the project visibility and control needed to make smarter, more strategic supply chain decisions.

Learn more about how these tools can safeguard your workflows, learn more at EverProSolutions.com.

Hiring & Workforce Planning

Hiring remains one of the most persistent challenges for small business owners. About 49.3% of respondents planned to hire more in 2025, while 46.7% expected to maintain their current staffing levels. Only 4% anticipated staff reductions. (10) However, many noted that hiring is easier said than done.

The biggest hiring challenge cited was finding qualified candidates (37.3%), followed by concerns about work ethic and reliability (25.5%). (11) Rising labor costs have also intensified competition for talent; approximately 77.1% reported labor costs had increased over the past year, with 20.9% indicating costs remained about the same, while less that 2% said that their labor costs were decreasing. (12)

”While things like offering competitive pay, fostering a positive work culture, and providing growth opportunities seem to help, it’s hard to pinpoint just one thing. Especially with younger generations like Millennials and Gen-Z, who tend to job hop more often, finding a solution that works for every employee is tricky.“

—David M.

To attract and retain workers, many businesses emphasized the importance of improving company culture, employee engagement, and training practices. Key strategies included offering flexible schedules, implementing incentive programs, and providing clear opportunities for professional growth. A smaller but growing number of businesses are also using referral bonuses or investing in training and upskilling programs to build internal talent pipelines. (13)

Attracting and retaining talent continues to be a major concern for small service businesses, with over 60% citing challenges around candidate quality, reliability, and rising labor costs. While most plan to maintain or increase their workforce in 2025, doing so effectively requires more than just job postings—it requires intentional investment in employee development, engagement, and performance.

Tools like pulseM give businesses a window into the customer experience, offering real-time feedback that can be used to coach employees, recognize high performers, and identify areas for improvement. For businesses looking to build a culture of excellence, Service Nation provides access to peer networks, leadership training, and proven programs that help companies retain talent and reduce turnover.

To explore how these tools can help you build and retain a high-performing workforce, learn more at EverProSolutions.com.

AI Adoption & Technology Readiness

The majority of home and field service businesses are still early in their AI adoption journey.  About 20% reported using AI regularly or as a core component of their operations.  A significantly larger group—55%—indicated curiosity about AI or had experimented with AI tools without extensive implementation yet. (14)

The most prevalent AI application reported by businesses was content creation and automation (55.9%). Other common uses included customer service and support (33.6%), customer engagement and personalization (24.3%), and training and knowledge management (21.1%). (15) Survey respondents noted that AI has effectively streamlined tasks, enhanced customer experiences, and improved efficiency. However, open responses indicated occasional reliability concerns and challenges integrating AI seamlessly into daily operations.

“AI has been incredibly helpful in streamlining our operations and improving efficiency. For example, we’ve implemented AI-driven tools for customer service, which handle inquiries and schedule appointments, allowing our team to focus on more complex tasks.”

—Kaleb N.

When asked about barriers to AI adoption, business owners overwhelmingly pointed to a lack of knowledge or training (46.8%), followed by uncertainty regarding the return on investment (17.5%) and implementation costs (13.5%). (16) These responses underscore significant interest in adopting smarter technologies, provided they offer clear, cost-effective benefits.

While many home and field service businesses are still exploring how technology—and AI specifically—can serve them, the opportunity is clear: the businesses that embrace smart tools today will be the ones positioned to lead tomorrow. From simplifying estimates to capturing actionable customer insights, even small digital upgrades can create massive efficiencies.

GuildQuality helps businesses benchmark against top performers, collect verified customer feedback, and surface trends that lead to smarter decisions. Meanwhile, Joist equips pros with easy-to-use mobile tools for modernizing quotes, invoices, and client communication—no steep learning curve required.

Start building a tech stack that matches your ambition, learn more at EverProSolutions.com.

Conclusion & Strategic Outlook

The economic landscape heading into 2025 presents both challenges and opportunities for small businesses in the home and field services sector. From rising input costs to evolving customer expectations and labor market pressures, today’s service businesses are navigating more complexity than ever. Yet optimism remains strong—especially among companies embracing digital transformation to sharpen operations, retain talent, and better serve their customers.

EverPro offers a powerful suite of software solutions and services that equip these businesses with the tools they need to thrive in a changing market. Whether it’s automating back-office workflows, improving customer communication, enhancing technician performance, or supporting workforce development, EverPro enables service businesses to take control of their growth and efficiency. Solutions like Service Fusion, pulseM, Joist, and GuildQuality work in tandem to address the full lifecycle of operational and customer challenges.

To explore how EverPro’s connected platform can help you succeed in 2025 and beyond, learn more at EverProSolutions.com.

Authorship & Contributions

This report was authored by Bobby Singleton, who led the research design, survey management, and development of the final report.

Connor Gaspar and Krystyna Bihun contributed to the survey research methodology and supported quality assurance for the final report.

© 2025 EverCommerce. All rights reserved.

This document is provided for informational purposes only and is not intended as legal, financial, or professional advice. The information contained herein reflects conditions and opinions at the time of publication and is subject to change without notice. EverCommerce (and its affiliates) make no warranties, express or implied, regarding the accuracy, completeness, or reliability of the information contained in this report.

Any forward-looking statements herein are based on current assumptions and expectations and involve inherent risks and uncertainties. Actual outcomes may differ materially from those predicted. EverCommerce assumes no obligation to update or revise any statements to reflect new information or future events.

This material is confidential and proprietary to EverCommerce. Reproduction, distribution, or disclosure of this document or its contents without the express written consent of EverCommerce is strictly prohibited. Any third-party trademarks mentioned remain the property of their respective owners.

Forward-Looking Statements

This report may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this report that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding anticipated trends with respect to service-based small businesses, particularly in light of macroeconomic factors, and related impacts on EverCommerce’s business. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the impacts of macroeconomic trends, including tariffs, on EverCommerce’s business, its limited operating history and evolving business; its recent growth rates may not be sustainable or indicative of future growth; as well as the other factors described in its Annual Report on Form 10-K for the year ended December 31, 2024 and updated by other filings with the SEC. These factors could cause actual results to differ materially from those indicated by the forward-looking statements made in this report. Any such forward-looking statements represent management’s estimates as of the date of this report. While EverCommerce may elect to update such forward-looking statements at some point in the future, it disclaims any obligation to do so, even if subsequent events cause its views to change.

---