What to expect post-election: 4 compliance and growth predictions for 2025

Elections and leadership changes bring fresh ideas—and with them, real change for businesses. Many companies are bracing for shifts from our most recent election cycle that could impact everything from regulatory compliance to market conditions and growth potential. In addition to regulatory updates, consumer expectations are also shifting fast. 

As these changes unfold, businesses face both challenges and opportunities to adapt and thrive over the next 4 years. Here are a few of our predictions here at Middesk that will help you stay prepared and ready to thrive in 2025:

Now’s the time to assess your approach to compliance and growth—preparing for what’s next can make all the difference.

1. A more relaxed regulatory environment will fuel business growth opportunities and spark competition

We’re likely entering a period of relaxed enforcement of regulations like the Bank Secrecy Act (BSA) and Anti-Money Laundering (AML) laws. For companies in highly-regulated sectors, this shift could mean fewer compliance hurdles and more freedom to explore new growth initiatives with fewer constraints.

What this means for businesses:

For companies weighed down by compliance costs, these shifts could finally open up room to spend more resources on investments to grow the business. Imagine redirecting time and budget away from exhaustive reporting toward growth-focused projects, knowing that you’re still operating within legal boundaries. This shift will allow businesses to think more strategically, finding the best paths for expansion while keeping a strong compliance foundation intact.

As businesses direct more resources toward growth rather than compliance, we can also expect a surge in competition across the industry. With fewer regulatory barriers to entry and an influx of investment in growth initiatives, more companies will be able to innovate, bringing fresh ideas and solutions to the market. This competitive boost will benefit consumers through improved offerings and lower costs, but it will also challenge businesses to differentiate themselves, driving a need for continuous improvement to meet growing customer demands. In this way, while the relaxed regulatory environment opens doors for growth, it also raises the stakes for companies to maintain a competitive edge.

2. Economic incentives will drive a financial services boom

Depending on the administration’s priorities, we may see new incentive programs aimed at stimulating economic growth. Paired with lower interest rates, these policies are likely to lead to a surge in bank account openings, lending activity, and overall demand for financial services.

What this means for the financial services industry:

This heightened demand will increase the need to onboard customers smoothly, build trust quickly, and create a seamless experience across all touchpoints. Customers seeking financial services will expect quick, easy access to products—and will abandon the process if friction arises. With dependable data that paints an accurate and robust risk profile of a business, financial institutions can minimize onboarding friction, enabling faster KYB checks and building a strong foundation of trust to support customer retention and growth in a competitive market.

3. Global shifts in foreign policy will reshape compliance requirements

If the new administration shifts its foreign policy stance, we could see an increase in sanctions and tariffs impacting the financials of U.S. businesses operating internationally. These changes would likely require more frequent updates to sanctions screening processes to maintain compliance. In this environment, businesses will need to stay agile, implementing robust monitoring systems to manage evolving regulatory demands and mitigate potential noncompliance risks. Maintaining up-to-date compliance measures will be critical to avoid operational disruptions and fines and ensure smooth international operations for U.S. businesses.

What this means for companies with international operations:

Evolving sanctions policies may require swift action to avoid financial penalties for noncompliance. Staying proactive and closely monitoring sanctions lists can help businesses adjust screening processes without costly disruptions. A strong compliance foundation will be essential for navigating these shifts smoothly and minimizing impacts on operations. In a rapidly changing regulatory environment, companies that prioritize ongoing monitoring of their existing customer base will be better positioned to maintain stability and growth in the coming years.

4. Higher consumer expectations for transparency and security will drive differentiation

With potential deregulation on the horizon, the fintech landscape will likely open up for innovation. However, this freedom also comes with higher consumer expectations around transparency and data security. Companies that proactively address these areas—focusing on straightforward policies, clear data practices, and responsible tech—can set themselves apart and build trust in a competitive market.

What this means for businesses prioritizing consumer trust:

As consumers seek clarity and security in their financial choices, companies can stand out by offering transparent, user-centric solutions that anticipate these expectations. Businesses that prioritize both innovation and openness may not only build stronger relationships but also reinforce their brand’s integrity in an environment where consumers have more options than ever.

Preparing for a post-election environment is about staying informed and ready to adapt. At Middesk, we’re committed to helping businesses make the best decisions they can in uncertain times. We know that change is constant, but with the right tools, it doesn’t have to be disruptive. 

Discover how Middesk can help your business navigate new regulatory and economic changes here.