Survey: Declining sales is biggest challenge facing small businesses

A new survey done last week by the Small Business Association of Michigan makes one thing perfectly clear: as the COVID-19 pandemic wears on, small businesses continue to suffer. For 79 percent of small businesses, lost sales volume is the biggest concern, with 73 percent of those surveyed anticipating a reduction in sales in the coming months. Nearly one in five small businesses are anticipating significant sales losses, with 17 percent indicating they expect sales to be down by more than half because of the COVID-19 pandemic.

The survey, conducted between September 15 and 24 of nearly 700 Michigan small businesses, also indicated that 1 in 10 businesses are not confident that they will survive the pandemic. Additionally, 72 percent of those surveyed received Paycheck Protection Program loans, with 19 percent indicating that they may have to reduce staffing without further funding.
“The fact of the matter is that small business owners are at risk of shuttering their doors before this is all over,” said SBAM CEO Rob Fowler. “That is not that surprising when you consider the challenges these businesses are working to overcome. This is why the federal government needs to give serious consideration to approving additional PPP funding for our hardest hit businesses—their struggles are dire and so are the consequences.”