Small businesses play a key role in the economies of many countries, providing jobs and support to local communities. However, they face numerous challenges that can significantly affect their business. Two significant factors currently affecting small business operations are inflation and the introduction of the euro. Rising prices of raw materials directly affect production costs. Small businesses, which often do not have large financial reserves, face the challenge of raising the prices of their products or cutting margins to remain competitive. This may result in reduced sales or profitability. Inflation reduces the purchasing power of consumers, which can lead to a decrease in consumption. Small businesses that depend on the local market may face a drop in demand for their products and services. Introducing the euro increases price transparency within the eurozone, which can increase competition. Small businesses must adapt to new market conditions and increased competition from other eurozone countries. The impact of inflation and the introduction of the euro represent significant challenges for small businesses. The increase in the costs of raw materials, labor and borrowing due to inflation, as well as one-time adjustment costs and increased competition due to the introduction of the euro, require careful management and adjustment of business strategies. Small businesses must be prepared for these changes to ensure their viability and competitiveness in the market.