New Survey on Small Business

January 26, 2022

On Jan. 24, Goldman Sachs released a survey on the ongoing impact of Covid-19 on small businesses. The data shows that the Omicron variant is hurting Main Street, and leading small business owners to support additional Congressional aid.  

The study found that the Omicron variant has had a significant impact on small business operations: 

  • 79% of small business owners are concerned about the ongoing impacts of Covid-19 and the Omicron variant on their business 
  • 71% say that the recent rise in cases has negatively impacted their business revenue
  • 37% reported having to temporarily close or scale back operations due to the recent rise in cases 

86 percent of small business owners report broader economic trends having a negative impact on their business. Answering, “What is the most significant problem facing small businesses?”: 

  • 50% said difficulty finding and retaining qualified employees 
  • 19% said supply chain issues 
  • And 18% said inflation 

67 percent of small business owners survey answered that they are currently hiring, and of those: 

  • 87% are finding it difficult to recruit qualified candidates 
  • 97%  noted that difficulties in hiring is impacting their bottom line 

Small business owners are at a disadvantage compared with large companies when it comes to supply chain issues: 

  • 69% of small business owners say that supply chain issues have negatively impacted their bottom line 
  • 66% of impacted businesses point to suppliers favoring large businesses with larger orders as a problem 
  • Only 13% of impacted businesses expect supply chain issues to improve in the next six months 

Due to the ongoing crisis, struggling small businesses are in need of financial help: 

  • 82% of small business owners support the federal government providing additional emergency financial assistance 
  • 85% support the reauthorization of the EIDL (Covid-Economic Injury Disaster Loan) program  

You can find the full survey here.