Small Businesses Cautious on World Cup Windfall
This summer's FIFA World Cup may not be the financial windfall many Canadian small business owners were hoping for, according to a new survey. The 2026 Small Business Pulse by Merchant Growth found that 58% of Ontario businesses expect little to no revenue impact from Canada hosting the soccer tournament compared to a typical summer.
Conducted nationally by Angus Reid, the survey was based on responses from 130 small business owners and 1,504 Canadians. It also revealed that one in five Ontarians (22%) plan to watch World Cup matches at a locally or independently owned business, where patrons are expected to spend an average of $54 on food and drinks. This is 11 times more than the 2% who said they would watch at a national chain.
David Gens, founder and CEO of Merchant Growth, a Vancouver-based financial institution, noted a large gap between consumer demand and the ability of small businesses to capitalize on it. “The World Cup is a major economic moment, but it will not benefit every small business equally,” Gens said. “Businesses with the right location, staffing and cash flow may be able to turn increased consumer activity into revenue.”
Recession Concerns Loom
With Canada entering a technical recession this year, four out of five local business owners believe the country is already in a recession or heading toward one within the next 12 months, the survey found. Gens warned that recession concerns, coupled with rising operating costs and trade uncertainty, are negatively impacting small businesses. “For many owners, rising operating costs and tight margins mean they are being cautious about investing ahead of the World Cup opportunity,” he said.
Protecting Margins Over Growth
Many Ontario businesses are focusing on protecting margins rather than investing for growth. According to the survey, 61% have cut spending, 34% delayed hiring, 30% reduced staff, 30% paused or cancelled expansion plans, and 27% raised prices. With more than a week before the tournament kicks off in Canada, the United States and Mexico, 33% of small business owners say they will not benefit from the games at all, while 28% say their location will not see increased foot traffic.
Very few owners have made investments or changes ahead of the World Cup. Only 17% extended operating hours, 16% increased inventory, and just 11% hired additional staff. The survey underscores a cautious approach among small businesses, which are prioritizing financial stability over potential gains from the global event.
