DALLAS (Feb. 18, 2026) – “Everything is bigger in Texas — and small business optimism is no exception,” writes Victoria Baeza Garcia for The Dallas Morning News. Garcia reported on the findings from the Texas Small Business Economic Trends (SBET) report, produced by the National Federation of Independent Business (NFIB) Research Center.

CLICK HERE to read the full article. Excerpts are below:

Texas’ Main Street sector more optimistic than the rest of U.S., data shows

The Dallas Morning News

By Victoria Baeza Garcia

Feb. 18, 2026

Everything is bigger in Texas — and small business optimism is no exception, according to new data. […] The NFIB’s latest Small Business Optimism Index for Texas checked in at 101.1, which was 3.2 points ahead of the national average.

Of the index’s 10 components, Main Street businesses in the state reported higher sales expectations, as well as positive earnings trends and employment trends when compared to NFIB’s overall U.S. data, the organization said. […]

Jeff Burdett, the state director for Texas at The National Federation of Independent Business, said Texas remains on entrepreneurs’ radars.

“Texas remains one of the best places to own, operate and grow a small business,” Burdett said in a statement. […]

“2025 was a really tough year, uncertainty-wise,” said Peter Hansen, NFIB’s director of research and policy analysis. “National data continued to discount the economy slightly.”

Small-business trends across the U.S.

From a national perspective, the impact of small businesses is also significant if understated. According to the Small Business Administration, 45.9% of U.S. employees work for the sector. […]

From manufacturers to farmers, NFIB aims to evaluate a broad range of small businesses, said Hansen.

“We try to represent a cross section of small businesses,” he added.

Texas outperforms the nation

Despite economic headwinds in 2025, Texas outperformed the U.S. by only a modest margin. […]

“Our state’s practical approach to governing allows small business owners to do what they do best: serve their customers, create good-paying jobs and invest in their communities,” Burdett said in a statement.

In Texas, 17% of owners rated the health of their business as excellent, and 6% rated it as poor, both figures 6 and 1 point above the national average, respectively. […]

Navigating workforce and cost pressures

Tight labor markets and shifting workforce dynamics have posed challenges, with the organization citing labor quality as “the top issue” for more businesses in the sector, and “the only issue that is meaningfully worse in Texas than in the U.S.” […]

“When you see more economic or business growth and need more workers, it makes you worry about labor quality,” Hansen said.

Texas still has a decidedly business-friendly regulatory environment, with the data sending a positive signal about the fortunes of small businesses in the state overall. […]

“It is an extraordinarily tight labor market,” Hansen said. “Workers are feeling the impact of inflation, and consumers are spending a bit more consistently.” […]

CLICK HERE to view the Texas SBET.