Most business owners face different challenges each year, which they must adapt to in order to stay productive and profitable.
While some hurdles will always exist, such as budgeting issues, recruitment gaps, and HR woes, many companies could face major obstacles this year without a little research and pre-planning.
Continue reading to discover the biggest challenges businesses face in 2026 and how they can overcome them.
Table of Contents
Advanced Cyber Threats
AI-assisted cybercrime should be a serious concern for all businesses. No longer do organizations need to worry solely about a lone cybercriminal, as criminal organizations are using technology to find network gaps and deceive humans.
Modern cyber threats include:
- Deepfake voice and videos – cloning a CEO or team members’ voice and/or appearance
- Hyper-personalized phishing – scraping sites to mimic writing styles in emails
- Agentic AI agents who will identify network vulnerabilities and launch relentless micro-attacks
- Storing data to decrypt once technology can do so
The Solution: Advanced cyber threats call for advanced cybersecurity technologies. For instance, security operations (SecOps) is an innovative mechanism designed to prevent, detect, and respond to cybersecurity incidents. It is arguably one of the best ways to reduce the likelihood of a security and data breach and boost your company’s resilience.
Technology Acceleration
Innovative technologies provide businesses of all sizes with the opportunity to develop and grow at a fast pace.
Yet, a company that struggles to adapt to new tools and techniques might struggle to keep up with its competitors. They may also spend considerable time and money on a system that could become obsolete within a matter of months.
As small to medium-sized businesses lack the financial capital to compete with larger, more established companies, they run the risk of falling behind in their industry.
The Solution: The key is to invest in flexible technology systems that you can quickly switch or upgrade when necessary to keep up with competitors. Many small to medium-sized companies will also reward staff after they have identified a struggling technology, as the incentive will make it easier to keep up with competitors.
Changing Business Regulations
US businesses can expect some major changes in the coming months, as regulations will soon be added or updated.
For instance, the Department of Labor is currently busy updating its rules for the classification of independent contractors, employee overtime eligibility, and more.
The Supreme Court is also expected to make a ruling to support gig workers, enforce discrimination rules, and improve workplace arbitration, and OSHA will soon introduce heat exposure and workplace violence regulations.
The Solution: Companies should take the time to compare their current processes against new or emerging regulations to identify the actions they must take. It may help to join one or more professional networks and trade associations to learn about new and emerging regulations and how they will impact your industry.
If in doubt, consult a legal team to familiarize yourself with the new regulations and discuss the actions that must be taken with your finance, IT, and/or management team.
