Small Buisness Struggle

Small Businesses Struggle Amid Economic Shift
In the wake of a confusing economic climate, small businesses across the nation are facing huge
challenges as they navigate the changing market landscape. From supply chain disruptions to
flexible consumer behaviors, these companies are grappling with a large amount of issues that
threaten their survival and growth.
The COVID-19 pandemic has been a major reason for the economic shift that small businesses
are currently experiencing. Lockdowns, restrictions, and consumer hesitancy have significantly
impacted the operations of many small businesses, forcing them to adapt quickly or face closure.
“Between keeping wages competitive, finding and sustaining employees, and keeping prices at a
point where the business can be successful as well as keep customers coming back. This has
been the hardest time in recent memory aside from COVID to try and continue running a
successful business” said Yeni Giron, part owner of Mi Jefe Mexican restaurant located in
Trafalgar, Indiana.
Another local pizza place had this to say as well
“We had to change everything we did business wise. We are usually 80% dine in and 20% talk
out business. Then all of a sudden we had to go completely take out. I had waiters and waitresses
needing hours so I had to find time for them working the drive through window.” said Rod
Delph, owner of Chicago's Pizza in Bargersville.
According to a report by the National Federation of Independent Business, nearly 36% of small
businesses in the United States have reported a decrease in revenue since the onset of the
pandemic.
“The size of events are smaller as a cost savings plan for the organizers. A bride and groom may
have had plans for a 250 person wedding/reception when they got engaged and contracted with
us but we are seeing the numbers actually decreasing in many cases today. As a business we
have been focusing on better service and value for the clients.” said Garment Factory owner
Billy Bemis
For example The Garment Factory may provide decor or some other services that usually have
a charge associated with them at no cost. Limiting spending and labor costs are things they are
paying more attention to today than we were 12-18 months ago.
One of the main challenges facing small businesses is the disruption in the global supply chain.
Delays in the delivery of raw materials and products have led to increased costs and production
bottlenecks for many small businesses, making it difficult for them to meet customer demands
and maintain profitability.
"We used to receive our supplies within a week, but now it takes almost a month, sometimes
longer," said Chad Paulin, owner of a CMP plumbing company located in Bargersville.
Also with inflation on the rise doesn’t make things any easier.
"Our operating costs have gone up by 20% in the past year alone, and it's becoming increasingly
difficult to stay afloat. As well as we don’t have any kids that are coming into the trades they are
all going to college so it’s hard to keep up with the work and the pay.," said Paulin
Consumer behaviors have shifted dramatically in response to the pandemic, with many opting for
online shopping over in-person retail shopping. This shift has forced small businesses to invest in
e-commerce platforms and digital marketing strategies to stay competitive. However, the costs
associated with this transition can be prohibitive for many small enterprises, particularly those
with limited resources.
“When most people buy clothes from me now it is all online. I may get some people that live
here in Trafalgar to come and buy some school spirit clothes I guess that's the good side of
having a storefront here in town so people still can come in and buy stuff if they want or do clay
pottery” said Amanda Waddle owner of the Nook in Trafalgar
The rising inflation rates and increasing operational costs have further pushed the challenges
faced by small businesses. From higher rent prices to increased utility bills, small business
owners are feeling the squeeze as they struggle to maintain their bottom line.
"People still are required to have insurance so that has helped the insurance industry but the
increased costs of homes and autos has caused people to have to try and save money so they
want to meet to change deductibles and add discounts so this time has taken away from my
business pursuing new clients.” said Insurance Agent Daryl Ellis
Despite these challenges, small businesses are resilient and resourceful, finding ways to adapt to
the changing economic landscape. Some have shifted their business models to focus on online
sales and delivery services, while others have formed partnerships with other local businesses to
share resources and reduce costs.
“I usually don't go door to door and ask people if they have a lawn care service. I just use social
media basically for advertisements and people call that way. So I have been going door to door a
little and people see me cutting their neighbors yard and ask if I could start cutting theirs as well”
said Steve Mirizzi owner of Mirizzi's Lawn Care.
Community support has also played a crucial role in helping small businesses weather the storm,
with many customers choosing to shop locally and support their neighborhood enterprises.
“That is the good thing about being downtown Franklin and in a small town. The community has
always been good to us. Every Tuesday we have a taco special for lunch and the people here love
it. We get slammed for a couple hours when the tacos are going.”- said Larry Hughes owner of
the Grill Bar downtown Franklin.
As small businesses continue to navigate these uncertain times, it is clear that they will need
ongoing support and assistance to survive and thrive in the post-pandemic world. Government
policies that prioritize small business growth and provide targeted financial assistance can help
some of the burdens faced by these businesses. Additionally, consumers can play a vital role in
supporting their local businesses by choosing to shop locally and support small businesses in
their communities.
Small businesses are facing significant challenges in the current economic shift, but with
resilience, innovation, and support, they have the potential to become stronger and more resilient
than ever before. By working together and finding creative solutions to their problems, small
businesses can continue to be the backbone of our economy.
Sources
https://www.sba.gov/funding-programs/loans/covid-19-relief-options/paycheck-protection-progr
am
https://www.sba.gov/funding-programs/loans/covid-19-relief-options/eidl
https://www.nfib.com/content/press-release/economy/small-business-recovery-improving-slowly
/

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Small Businesses Struggle Amid Economic Shift

Another local pizza place had this to say as well

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