— Adam Tooze (@adam_tooze) April 6, 2020
71% of small business owners are worried their business will never recoup the losses associated with the COVID-19 pandemic. Business owners in the accommodation/food service and retail trade sectors are among the most likely to fear for their company’s future.
Nearly half — 47% — of small business owners surveyed have taken on debt to keep their business afloat during the pandemic. An additional 34% attempted to seek financing but were not approved.
8 in 10 small business owners have “no idea” where to get emergency funding for their business right now.
69% of small business owners do not have enough cash on hand to sustain their business for the next 90 days.
About 70% of small business owners adjusted their workforce to cope with the pandemic:
37% laid off employees
43% reduced hours for employees
12% implemented pay cuts for employees
Emergency savings won’t provide much relief for many entrepreneurs, as 69% of small business owners say they don’t have enough cash on hand to sustain their operation for the next three months.
As of March 30, small business owners have turned to the following funding options:
39% have taken on credit card debt
17% have taken out a business loan
12% have taken out a personal loan
12% have taken on another type of debt
Leading indicator of leading indicators. t.co/0FPzXPs1Sm
— Danielle DiMartino Booth (@DiMartinoBooth) April 6, 2020
Last shoe to drop…the US consumer… t.co/3WhSoUlml9
— Macronomics (@Macronomics1) April 6, 2020
— Trevor Noren (@trevornoren) April 6, 2020