In a recent conversation on Chicago’s AM 560, Kevin Bastuga, Signature Bank Co-Founder and Executive Vice President, offered candid insights into the current business environment in the Chicago area. As a leader working closely with local entrepreneurs and mid-sized companies, Kevin has a front-row seat to both the headwinds and the opportunities shaping today’s economy.
Lingering uncertainty in a post-tariff, post-pandemic market
Kevin noted that while many business owners have stepped off the sidelines and begun to make larger investment decisions in recent years, uncertainty still lingers—especially around trade policies and the long-term impact of tariffs. These pressures continue to affect manufacturing businesses that rely on imported goods.
“There’s still some trepidation about making decisions related to production and key inputs and the price of those inputs,” he explained. “We’re hoping that resolves in the next 60 to 90 days so people can get back to worrying about what they should be worrying about.”
Labor shortages: A rolling concern for industrial clients
When asked about the top challenges facing clients today, Kevin zeroed in on the labor market. Many of Signature Bank’s clients operate in industrial parks around Chicago, where “Help Wanted” signs are commonplace.
“There are real opportunities out there for people who want to pursue a trade,” he said. “It’s a dignified and important way to contribute to the economy, but it’s clear that many companies are struggling to fill those roles.”
He also pointed to the broader concern among business owners regarding the local and state policy environment—citing taxation, regulation, and political rhetoric as ongoing friction points.
Serving those who can’t just pick up and move
Unlike massive corporations that can relocate to other states with relative ease, Kevin emphasized that smaller, locally rooted businesses don’t have that luxury.
“The $12 million metal finishing company in Addison? They’re fighting to stay competitive. They can’t just pack up and leave,” he said. “They’re battling on wages, benefits and hiring just to maintain momentum.”
And yet, despite these headwinds, Signature Bank sees the Midwest—and Chicago in particular—as a uniquely strong environment for business growth.
Geographic advantage: Why Chicago still works
From Kevin’s perspective, the fundamentals are still strong. Chicago’s industrial base is bolstered by critical infrastructure: two major airports, major interstate arteries, extensive rail access, and a concentration of logistics operations that continues to grow.
“We’ve even seen international manufacturers—like a European company—begin to move operations to Chicago to avoid tariff-related costs,” he added. “That’s a direct result of our geographic advantages and our ability to support onshoring.”
Moreover, the city benefits from reliable utilities, fresh water access, and a rich tradition of manufacturing and small business entrepreneurship.
A precarious but productive moment
In Kevin’s words, “There are a lot of headwinds out there.” But even in the face of policy frustrations and labor market challenges, businesses are adapting. Some are thriving.
And at Signature Bank, that adaptability is a guiding principle.
“We pride ourselves on speed of delivery, certainty of execution, and decision-making that happens locally. That’s what today’s business owners need—and it’s what we’re built to provide.”
