How Small Businesses & Independent Workers Power the Holiday Season

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For small businesses across the U.S., the holiday season is among the busiest, and most lucrative. The U.S. Small Business Administration reports that 8 in 10 small businesses say the holidays are critical to their annual profits, and many earn 25% or more of their yearly revenue in November and December.

To keep up with that surge, small businesses rely heavily on independent workers: contractors, freelancers, seasonal staff, artisans, online sellers, and gig-based service providers.

Demand spikes for small businesses & contractors

Gusto’s nationwide analysis shows that small businesses have increased their use of contractors by about 15% since 2018, and businesses founded after 2020 now use one contractor for every four employees, far more than pre-pandemic levels.

During the holidays, these independent workers step into roles like:

  • Seasonal retail staff
  • Freelance designers, photographers, and marketers
  • Customer support contractors
  • Bakers, caterers, and market vendors
  • Event and pop-up staff

They help small businesses scale quickly without committing to year-round payroll.

Online shopping amplifies the need for gig support

Holiday e-commerce keeps growing fast. U.S. Census Bureau retail data shows consistent year-over-year growth in holiday-season retail sales, with online sales remaining one of the fastest-growing segments.

That shift pushes small businesses to strengthen their digital presence, often relying on freelancers and independent specialists to run websites, ads, content, product photography, and customer communication.

Holiday markets and pop-ups run on independent talent

Seasonal markets, artisan fairs, food stalls, and pop-ups create revenue opportunities for small businesses, and for independent workers who support:

  • Setup and logistics
  • Staffing
  • Sales
  • Creative and merchandising

For many artisans and micro-business owners, Q4 is their most profitable stretch of the year.

A season powered by flexible work

Independent workers choose holiday gigs because they offer flexible schedules and high earning potential in a short window. Small businesses rely on them because they make it possible to meet demand at scale.

Behind every holiday storefront, market booth, and online order is a network of independent workers keeping the season moving, quietly powering one of the most important moments of the year for small businesses.

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