I started out thinking about myself: Should I keep going as long as people ask for my advice and counsel? As long as I’m engaged with the work of small business?

But as I wrote this, on June 18, 2026, larger issues intrude upon my thoughts.

Many things may be going on for you personally, but we mark these communally today:

• Sixteen days before America's 250th birthday.
• The day before Juneteenth, when the news of freedom reached the farthest reaches of the US.
• Five days after the Knicks championship.
• Summer is beginning.
• Farmers markets are full.
• Businesses are halfway through another year.

Not all is sunny, but FREEDOM HAS NEVER BEEN AUTOMATIC.

It has always required tending. Even in our own country, we sometimes forget that every generation has included newcomers seeking the same opportunities our own ancestors once sought.

How do we take stock of our country? We are part of a great nation and a beautiful, fragile world, and we must continue to get along, or at least co-exist.

We are 250 years on, into the Great American Experiment.

Do we quit? Of course not.

We reach for liberty while still learning how to live with each other.

We yearn for acceptance while denying it to those we disagree with.

There come times when we realize that we cannot tolerate or accept conditions as they are. Every generation has had to widen the circle of liberty just a little farther than the one before it The Founders did. The Civil War generation confronted slavery. The Greatest Generation confronted fascism. Each faced a question it wished it hadn’t been asked.

It is our time now.

We must face up to the unacceptable and face down the intolerable.

We must reach for each other as equals and be open to challenges to our own solutions.

In loving our neighbors, we offer the same love to the stranger, and to ourselves.

To be fair and open-minded, we must talk with each other, especially when it frightens us.

We must remember that in America, no individual is greater than the Constitution, and no office is greater than the people who lend it their authority.

We haven’t finished the work. We never will.

Our founders signed a document that began with three simple words:

We the people.

Not We the Government.

Not We the Politicians.

Not We the Corporations.

And the people say, in the Declaration of Independence...     

We hold these truths to be self evident, that all men are created equal, that they are endowed by their Creator with certain inalienable rights, that among these are Life, Liberty and the pursuit of Happiness…

That to secure these rights, Governments are instituted among men, deriving their just powers from the consent of the governed.

A significant example of how the consent of the governed works is that the word “men” was amended to include women and people of color many decades past the original writing.

We are the people, we are the governed, and we give our consent with our votes--and with how we live together between elections.

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What can we do?

As small business owners, we don't write national policy. But every day we create little pockets of the country we want to live in. We decide whether to keep our word. We choose how we treat customers, employees, competitors, and strangers. We solve problems instead of creating them. We invest in our communities because we live there too.

Those may seem like ordinary decisions, but they're exactly the habits that make self-government possible.

I spent the Bicentennial, in 1976, in a 22-foot sailboat in New York Harbor watching the Parade of the Tall Ships. It was exciting and inspiring. 

Much of the good work we started then will require more than one generation.

Fifty years later, perhaps this is a good time to take stock: Not of everything that's wrong or whether the experiment is complete, but of the responsibilities that belong to each of us.

We don’t quit. We continue the experiment. And we ask ourselves whether we are doing our part to make our country better.

I still believe we are.

And that gives me hope.

Lorette Pruden has helped hundreds of small business owners, sales professionals, entrepreneurs, and community leaders grow their businesses and manage that growth since 2000. She specializes in the Formerly Corporate—so many small business owners who’ve worked with her come from a corporate background that she finally wrote the book on it.

The first quarter always tells a story — if you're paying attention.

Not the headline story about “the economy.” The quieter one: how small business owners are actually behaving.

Right now, the pattern I’m seeing is this: steady… but cautious. Busy… but selective. Open to growth… but only if it makes sense.

That lines up with what broader small business surveys are showing — stable or slightly improved revenue to start the year. Not a boom, but not a drop either.

So what does that look like on the ground for micro businesses? Here’s what I’m seeing.

1. “Stable” Is the New Normal (For Now)

A lot of owners were hoping for a strong bounce-back year. Instead, Q1 feels… steady.

Costs are still high. Pricing is still sensitive. And there’s just enough uncertainty that people are thinking twice before making big moves.

But steady is workable.

It’s actually a good environment for smart adjustments — tightening your offer, improving systems, testing pricing — without everything shifting under your feet.

I’m seeing many small businesses underpricing out of nervousness. Inflation concerns are real — but so is inflation itself. When relationships are strong, price increases are more accepted than people expect.

Rather than waiting for “better conditions,” this is a good time to strengthen your margins and see what the market will bear.

2. AI Is Here — but Judgment Matters More

You can’t go anywhere without hearing about AI. And yes, it’s real. Small businesses are using it to automate routine work, improve communication, and streamline operations.

I used it to research trends for this article, and it went deeper and broader than I expected. Then I stopped and asked: how am I actually seeing this show up in my own business?

That reality check matters.

Because what I’m seeing in practice is this:

The advantage isn’t coming from the tool — it’s coming from how people think.

Two people can use the same AI and get very different results. The difference is judgment — what they notice, what they trust, what they act on.

Use AI to save time. But invest your energy in thinking clearly about your business. That’s still the differentiator.

3. Customers Are More Selective

Customers haven’t disappeared — but they are more deliberate. They’re comparing, delaying, and looking for value they can understand quickly.

They’re balancing between “good enough” and the occasional splurge, rather than spending freely.

That means your offer needs to be clear, easy to say yes to, and tied to a real outcome.

This is where many small businesses get stuck — offering too much or presenting it in a way that’s hard to grasp. Often, the better move is to simplify.

4. Marketing Is Quietly Shifting

People are tired of the noise. Social media is still there, but trust in it is slipping. More customers are leaning toward direct relationships, word-of-mouth, and real-world connection.

For micro businesses, that’s good news.

You don’t need a massive content machine — you need a clear message, real relationships, and consistent follow-up.

Here’s what that looks like in practice: a long-standing business relationship of mine has evolved into a steady collaboration. My colleague keeps a pipeline of prospects and knows exactly how I can help — not all of them, but the right ones. If I tend to that relationship and our shared clients, I can count on several new clients from that one connection each year.

Nothing flashy. Just steady.

Your network, past clients, and conversations matter more than ever.

5. Behind-the-Scenes Work Is a Competitive Advantage

This is the least visible trend — and one of the most important.

The businesses gaining traction right now aren’t just marketing more. They’re tightening what happens behind the scenes: systems, follow-up, client tracking, and basic operations.

For me, this quarter, that’s included getting more fluent with AI tools that are improving fast and showing up everywhere. I don’t want to be clumsy with something this influential.

Why does it matter? Because when things pick up — and they will — speed matters. And most small businesses aren’t built for speed.

So What Do You Do with All This?

If I had to sum up Q1 2026 in one sentence, this has been a slower season that’s really about preparation.

In these newsletters this quarter, we’ve looked at simplifying offers, reconnecting with your best advocates, streamlining operations, and building new skills.

Which ones have you worked on? How are the changes landing?

That’s how a Profitable Business Plan earns its keep — not as a document, but as a way of thinking. What’s working? What isn’t? What needs strengthening before things accelerate?

Because they will.

And the businesses that used Q1 to get ready will feel very different come Q2.

If you’re interested in building a Profitable Business Plan for yourself, let’s talk.

One last question as you finish out the quarter: are you steady as she goes — or ready for full speed ahead?

Seeing something different in your own business right now? I’d love to hear it.

Lorette Pruden has helped hundreds of small business owners, sales professionals, entrepreneurs, and community leaders grow their businesses and manage that growth since 2000. She specializes in the Formerly Corporate—so many small business owners who’ve worked with her come from a corporate background that she finally wrote the book on it.