NASHVILLE, Tenn. (RFD-TV) — Small-business sentiment dipped in October, and the cracks show up first in ag towns. The National Federation of Independent Business (NFIB) Small Business Optimism Index eased to 98.2 (still a tick above its 52-year average). At the same time, uncertainty fell sharply — a reminder that sentiment is cooling even as owners gain a bit more clarity.
For rural America, where equipment dealers, feed suppliers, truckers, welders, and Main Street shops power farm country, softer sales and thin margins are tightening the screws on the services that producers rely on.
Under the hood, labor quality topped the worry list: 32 percent reported unfilled openings, and 27 percent named labor quality as their number-one problem —the highest since 2021. Sales momentum weakened (net −13 percent over three months) and profit trends deteriorated (net −25 percent), even as fewer firms raised prices (net 21 percent) and planned hikes eased. Capital outlays were anemic (23 percent of the plan’s six-month spending), borrowing slipped to 23 percent, and the average short-term loan rate hovered near 8.7 percent. Supply-chain pressure continued to ease, but it still affected 60 percent of firms.
For farm-adjacent businesses, that mix points to tighter staffing, cautious inventories, and selective investment — conditions that can lengthen repair queues, delay parts, and temper custom-work capacity. Producers may see steadier posted prices locally, but a thinner service bench and slower turnaround times as Main Street rides out slower sales and higher financing costs.
Farm-Level Takeaway: Rural businesses report softer sales, tougher hiring, and restrained investment — a backdrop that can pinch farm support capacity even if posted prices cool.
Tony St. James, RFD-TV Markets Specialist
October 09, 2025 11:36 AM
·
Considering raising your own replacements instead of buying bred heifers? Three key factors to consider before investing capital.
October 08, 2025 03:03 PM
·
Reliable, clearly graded middle meats still anchor demand; programs that deliver consistent eating quality and simple, confidence-building menus capture more repeat visits—and more value—back through the beef chain.
October 08, 2025 12:57 PM
·
Prepare for tighter cash flow, delayed capital buys, and policy-driven risk management this fall.
October 08, 2025 12:12 PM
·
George Baird, with the American Society of Farm Managers and Rural Appraisers (ASFMRA), joins us with updates on how this year’s rice harvest is shaping up.
October 07, 2025 03:12 PM
·
Crop insurance remains a vital tool for managing climate-driven risk.
October 07, 2025 03:07 PM
·
Expect firm demand for dependable HRS and SW, steady movement in HRW, more sorting on SRW, and selective bids on durum until full milling results are released.
October 07, 2025 03:02 PM
·
RFD-TV Farm Legal and Tax Expert Roger McEowen with the Washburn School of Law dives into a “potpourri” of ag tax and law-related issues in his latest
Firm to Farm blog post.
October 07, 2025 02:56 PM
·
Dr. Todd Davis, Chief Economist with the Indiana Farm Bureau, shares a snapshot of his state’s harvest conditions and insights from producers.
October 07, 2025 02:37 PM
·
