Results from Alignable’s Small Business Inflation Poll have just been released, showing that 51% of small business owners are concerned inflation could force them to close their businesses within the next six months. The survey was conducted from 5/7/22 to 5/22/22 among 5,268 randomly selected SMB owners. Here are more highlights:
- Focusing on the 51% who are most concerned:
- 1% have already closed due to inflation
- 1% plan to shutter by the end of June
- 26% are “highly concerned,” and
- 23% are “somewhat concerned.”
- Another 11% are “slightly concerned,” 17% say it’s hard to say either way
- Only 21% say they’re “not at all concerned.”
- 72% of restaurant owners are worried: 49% are highly concerned
- 60% of minority owners & 53% of women running their own companies are nervous about inflation, too
- States with the most-worried small business owners include MD (58%), CT (57%), TN (57%), CO (54%), MA (54%) and WA (54%). In Canada, AB (61%) & ON (54%) top the list
- Other poll results show additional economic factors magnifying concerns:
- 37% have only one month or less of cash reserves
- 44% are earning 50% or less of their pre-COVID monthly revenues
- 49% say their costs have increased by more than 25%, but only 16% are able pass those expenses onto customers
- Rent has spiked for 52% of those polled (up 6% from 46% in April)
- 60% say inflation has been worse than COVID
Many quotes bringing these sentiments to life are featured, as well. Here are a few:
- “It’s just a matter of time before we have no working capital left to operate with. I’m about to lose everything.”
- “It’s just too hard to keep going. Shutting down later this month or next.”
- “Fuel costs might be the death of my business.”
- “I’ve weathered four recessions. I’ll keep going. Just means stress and poverty for my family.”
