Most small businesses are not recovering revenues that they once enjoyed in 2019, before the pandemic. The recovery rate for small businesses is a meager 25%. Approximately 75% of small business owners cannot generate the same monthly revenue they enjoyed prior to government lock downs. Will the American dream survive the next two years as over one third of small businesses face financial troubles?
Up to 45% of independent restaurants could not pay their July rent
- Nearly half of all independent restaurants (45%) cannot afford to pay their rent now, as the American economy continues to collapse.
- Over one third of retail establishments (44%), beauty salons (40%), gyms (38%) and real estate businesses are also struggling.
Small businesses face historic cost increases for labor, fuel, rent
- Property owners are raising rental prices to make up for rising insurance costs, property taxes, and losses incurred during the CDC's unprecedented eviction moratorium, which allowed renters to skip their rent payments for over a year.
- Because supply of housing and commercial real estate is historically low, small businesses are stuck with higher rent, with no way out.
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