Small businesses rely on certain things to go right all of the time to survive and most of the time those things do go right.
Now, there are acceptable unforeseen circumstances but nothing the likes of which small businesses in the United States have had to deal with over the last year. It is downright scary the things that they have been forced to tolerate.
I have a friend who runs a small diner that had been forced to close for several months at a time, and another who runs a bowling alley and has done so for decades is on the verge of closing because of what the government has done to them
Just how bad were the lockdowns? Well, pretty bad in the 43 states where lockdowns were ordered but in the seven states that never locked down, things are great.
Those seven states include Arkansas North Dakota, Wyoming, Iowa, Nebraska, South Dakota, and Utah.
They had fewer cases and fewer deaths than states who locked down and their economies are miles ahead of the states that did lockdown.
Overall the percentage is 57% but when sorted by race 79% of Asian businesses, 77% of Black businesses, and 66% of Hispanic businesses say their outlook is fair or poor.
How many people’s lives have been ruined?
79% of small businesses say they are carrying debts on their books compared with 71% before them pandemic.
Those carrying $100,000 or more in debt shot up from 31% to 44%.
That debt will crush a lot of the small businesses. Almost all businesses expect another episode during the coming year.
The two most likely troubles are “weak demand for products/services” and “government-mandated restrictions or closures.”
The National Federation of Independent Business published its January survey on Tuesday. It found that small business confidence is at an eight-month low. Furthermore, the number of small business owners expecting better conditions through the middle of the year has hit its lowest level since 2013.
It’s difficult to be optimistic about business, added Randy George, owner of the Red Hen Baking Company in Vermont, noting that his business hasn’t been allowed to have indoor dining since last April.
“We do have a lot of people coming to the window and getting sandwiches to go, but, it’s a window,” George said.