Navigating Tariffs and Turbulence: A 2025 Guide for SME Founders

If you’re an SME founder trying to plan your next inventory order or marketing push, chances are you’ve felt the pressure of a shifting global trade landscape. The latest US tariff hikes, introduced in April 2025, are already sending ripple effects across supply chains — with up to 50% tariffs now applying to goods from over 60 countries. For founders operating on tight margins, these changes aren’t just a policy update. They’re a bottom-line risk.

With e-commerce growth projected to slow in 2025 and inflationary pressures mounting in both the UK and US, agility isn’t optional, it’s survival. From my time in banking to leading Juice through turbulent economic shifts, I’ve seen how the SMEs that thrive are those who plan early, stay informed, and protect their capital as fiercely as their brand.

In this article, I’ll walk through practical strategies for SME founders to steady the ship in uncertain waters, from navigating tariff shocks to rethinking funding options and building resilience into your supply chain.

1. Navigate Tariff Turbulence with Agility

The U.S. tariff hikes announced in April 2025 may seem like headline politics—but for SMEs, they represent a real operational squeeze. Whether you’re a skincare brand importing packaging from Asia, or a DTC electronics startup relying on US sales, you’re likely facing ripple effects: from increased costs to slower supply chains and tougher price negotiations.

According to the Office for Budget Responsibility, these tariffs could trim 1% off the UK’s GDP by 2026. But the pressure will land earlier—and harder, on SMEs that rely on thin margins, just-in-time stock, and limited supplier options.

What does a smart response look like?

• Start with your supply chain. The “supplier +1” model—adding a second source in a new market—is a proven way to mitigate exposure. Even small shifts (like switching to a UK-based packaging supplier) can offer greater pricing control and lead time certainty.
  
  

• Revisit your landed cost assumptions. Don’t assume your January pricing still holds. Reprice every SKU, layer in new customs fees, and model worst-case FX moves—especially if you're planning Q3 stock buys.
  
  

• Renegotiate where you can. Suppliers may be under pressure too. Some are open to volume-linked pricing or flexible payment terms—especially if you act before everyone else does.
  
  

• Build buffer stock early. With Prime Day extended to four days and holiday planning already underway for major marketplaces, pre-ordering stock now locks in rates and avoids inflated costs later.
  
  

• Lean into data. Map your spend by geography and tariff exposure. It’s not just a sourcing decision—it’s a margin and cashflow decision.
  
  

This isn’t about panic—it’s about planning. At Juice, we’ve seen founders navigate currency shocks, freight delays, and policy shifts. The ones who succeed aren’t reactive, they model the risk early and adjust decisively.

Tariffs may be beyond your control. Your response isn’t.

2. Strengthen Your Funding Strategy Before You Need It

When market shocks hit, like a sudden tariff hike or a supplier price jump, cash is always the first stress point. For SMEs, the challenge isn’t just finding funding, it’s finding the right funding before you're forced into it.

Too often, I’ve seen founders wait until the pressure is on to explore capital options. By that point, negotiating power is lower, options are narrower, and flexibility is limited. The lesson? Build your funding strategy when you still have room to think, not when you’re reacting under stress.

Here’s what that looks like in practice:

• Stress-test your cashflow now. Model what happens to your margins if landed costs rise by 10%. Do you have the runway to absorb a 30-day delay on your next shipment? If not, you may need a capital buffer.
  
  

• Diversify your capital stack. Founders often think of funding in binary terms, equity or nothing. But there are smarter options in 2025: revolving credit, revenue-based finance, and non-dilutive growth capital. Each has a role to play depending on your forecast.
  
  

• Act before urgency. The best time to raise capital is when you’re still in control. Don’t wait until you’re chasing stock or juggling invoices. Founders with proactive funding strategies get better terms, more flexible repayment options, and less friction when they need to move fast.
  
  

• Build relationships, not just pipelines. One of the most overlooked advantages in SME finance is trust. Lenders and capital providers are more willing to be flexible when they understand your business deeply. Don’t just reach out when you need money, start the conversation now.
  
  

• Stay transparent with internal teams. Your ops, finance, and marketing teams should all know your funding playbook. Delayed decisions—or internal misalignment—can slow you down when timing is everything.
  
  

From my time at Juice and in banking, I’ve learned this: SMEs don’t fail from lack of ambition, they stall from cashflow blind spots. A well-prepared capital strategy isn’t just a financial plan. It’s an operating advantage.

3. Build Operational Muscle That Withstands Market Whiplash

Financial preparedness is one piece of the puzzle—but resilience in 2025 will be measured by how well your operations can flex under pressure. Tariffs are just the latest test. Currency fluctuations, freight bottlenecks, and platform policy changes are also squeezing founders from multiple directions.

So how do you keep running a sharp, responsive business when the rules keep changing?

In “Fintech Predictions for 2025”, I talked about the rise of embedded tools and how founders are no longer building their back offices from scratch. The smart ones are using integrated data to see further and act faster. Resilience in this climate isn’t about stockpiling—it’s about knowing when to shift, trim, or accelerate before competitors do.

Here’s what that can look like in practice:

• Inventory agility: Cut ties with one-size-fits-all fulfilment plans. Use dynamic stock models that respond to cost changes and demand forecasts in real time.
  
  

• Supplier relationships: Move beyond transactional terms. If your supplier doesn’t pick up the phone when you’re under pressure, it’s not a partnership—it’s a liability.
  
  

• Team alignment: Your ops, finance, and marketing leads need to work off the same forecasting assumptions. Disconnected teams lead to expensive mistakes.
  
  

• Decision rituals: Revisit decisions faster. Review what’s working monthly, not quarterly. The goal is speed and precision.

Resilience in 2025 isn’t about riding out the storm and hoping for calm. It’s about building systems that flex when things shift. The founders who’ll thrive this year are already reviewing their unit economics, stress-testing their supply chains, and running sharper weekly reviews. It’s not about perfection, it’s about preparedness. Because agility isn’t just a mindset anymore. It’s an operating standard.

U.S. tariffs are just one of many external forces testing SMEs this year—but they serve as a powerful reminder: resilience can’t be outsourced. In 2025, the founders who come out stronger will be the ones who move early, not react late.

Here’s the core playbook:

• Adapt your supply chain now, not after margins start eroding.
  
  

• Revisit your funding strategy before it becomes urgent.
  
  

• Build operational discipline into how your team plans, decides, and reacts.
  
  

As I’ve written in previous articles, from Why Non-Dilutive Funding Is the Future for SMEs to The Real Cost of Financial Exclusion, that structural headwinds often reveal which businesses are built to flex—and which ones are built to last.

This moment doesn’t call for panic. It calls for clarity.
If you’re rethinking how to protect what you’ve built while continuing to grow, start now.

What changes are you making to steady your ship this quarter? I’d love to hear how you’re adapting.