Small businesses already feeling huge drop in demand due to Coronavirus (COVID-19), new study shows
WASHINGTON, March 24, 2020 /PRNewswire/ -- A just released national study found that 69 percent of U.S. small businesses have already experienced a large drop in demand due to the coronavirus pandemic and 60 percent believe demand will continue to decline. The study of small businesses by America's Small Business Development Centers (SBDC) and Thryv, Inc., found that 82 percent of small businesses are "extremely concerned" about the current business environment in light of the COVID-19 outbreak.
Additionally, the study uncovered impacts on the labor market and employment trends. In fact, 64 percent of the small businesses studied indicated employee hours have been cut and 22 percent said they had not been cut yet but they expect to do so. From a supply chain perspective, 74 percent of small businesses indicated that they or their suppliers have seen disruptions in their supply chain.
"Small businesses across America are feeling the pain of the coronavirus pandemic," said Gordon Henry, Chief Strategy Officer at Thryv®. "They are seeing demand plummet and are unable to stock their shelves due to supply chain disruptions. As a result, they are having to cut employee hours to stay operable."
These are just several data points from the joint study by Thryv, Inc. — a SaaS and marketing solutions company with over 350,000 small business clients nationwide — and America's SBDC conducted among small businesses across the country this past Friday. The research supports the integral role small businesses play and the value they bring to the economy. Both America's SBDC and Thryv, Inc. have a long history of working with small businesses.
Charles "Tee" Rowe, President & CEO at America's SBDC, noted, "One-third of the study respondents said they were likely to apply for an SBA loan and another 18 percent said they didn't realize these were available. SBDCs can provide insight and expertise on what options are available and how to maneuver through the loan process, connecting local business owners with the right resources in these difficult times."
The study indicated 60 percent of respondents have delayed or cancelled plans for new investments, loans and expansions in light of the pandemic.
"At Thryv, we help small businesses stay in touch with their customers using software on their smartphones," Henry said. "During this crisis, we're waiving startup fees so businesses can use the software to stay afloat."
The study was conducted on March 20 through March 23 among more than 850 small businesses, with a margin of error +/- 3.5 percent. America's SBDC and Thryv will continue to gather data from SMBs over the next four to eight weeks.
For full study results, email [email protected].
About America's SBDC: America's SBDC represents the Nation's 63 Small Business Development Centers, a national network of partnerships uniting higher education, state and local nonprofit economic development organizations, private enterprise and government. It is the Small Business Administration's largest partnership program, providing management and technical assistance to help Americans start, run and grow their own businesses. Learn more at www.AmericasSBDC.org.
About Thryv, Inc.
Thryv, Inc. builds and owns the simple, easy-to-use Thryv® software that helps small business owners with the daily demands of running a business; and allows them to take control and be more successful. Thryv provides modernized business functions allowing them to manage their time, communicate with clients, and get paid. These include building a digital customer list, communicating with customers via email and text, updating business listings across the internet, accepting appointments, sending notifications and reminders, managing ratings and reviews, generating estimates and invoices, processing payments, and issuing invoices and coupons.
Thryv delivers business services to more than 350,000 small businesses across America that enable them to compete and win in today's economy.
Thryv also provides consumer services through our market-leading search, display and social products—and connects local businesses via The Real Yellow Pages® from the over 25 million monthly visitors of DexKnows.com®, Superpages.com® and yellowpages.com search portals; and local print directories. For more information about the company, visit thryv.com.
April Youngblut | (703)764-9850
SOURCE America's SBDC
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