(NewsNation) — A new Small Business for America’s Future survey found 71% of small-business owners believe tariffs will negatively impact consumer spending.

Gabe Hagen, founder of Arizona coffee roasting company Brick Road Community Corporation, told “Morning in America” that small-business owners are concerned, especially during a period when many bring in the bulk of their annual revenue.

“It’s definitely not the story we want to be talking about as we go into the fourth quarter,” he said. “I know for us the fourth quarter and even the first quarter are critical because we’re in Arizona, where summer is our hibernation season. We need to be able to count on sales this time of year to really last us through the times when we are traditionally slower.”

The survey, which looked at 1,000 small-business owners, revealed that 44% had to raise prices, while 35% had to shrink profit margins to absorb tariff increases. Nearly 70% reported their customers have less money to spend than last year.

Hagen said he’s noticed consumers’ spending has shifted and that shoppers are buying less this holiday season.

“Consumers are holding back. They are concerned about their personal finances, and small businesses are feeling that. We’re seeing that the consumers may still be coming into the coffee shop, but they’re not purchasing any retail gifts for the holiday season,” he said. “It may not be that foot traffic is down tremendously, but the spending habits have shifted.”

Hagen emphasized that small-business owners “just need some relief.”

“We need a smarter tax policy. We need smarter tariff policies. We need something that’s going to actually help the small-business community and help Main Streets across the country,” he said.