Small businesses plan to create 25,000 jobs next year.
A new survey shows nearly two-thirds of firms feel that the business environment is improving.
However, Brexit, wage inflation and increasing business costs are the main concerns for 2018.
Sue O’Neill, Chair of the Small Firms Association, said: "71% of our members when we surveyed them at the end of the year, said that they are looking at creating jobs.
"We’re hoping for 25,000 jobs to be created right across a number of sectors in all the villages and towns of Ireland, which is great."