FLC | Despite positive trends, small-business pessimism about COVID-19 impact persists

Despite positive trends, small-business pessimism about COVID-19 impact persists

September 8, 2020

The US Census Bureau on September 3 released updated results of its experimental Small Business Pulse survey, which measures the changes in business conditions on the nation's small businesses during the COVID-19 pandemic. The initial results cover the time period between August 23 and August 31. Data tabulations and visualizations are available online (see link below) and will be updated weekly through June.

Compared with the results for the time period between May 31 and June 6, most metrics have improved—most notably operating revenues. However, the percentage of small business owners who believe more than six months will pass before their business returns to normal continues to climb.

The findings include:

32.7% of U.S. small businesses (down from 41.3% in early June and 51% in early May) and 68.2% of U.S. accommodation and food services businesses (down from 73.7% and 83%) have experienced a large negative effect from the COVID-19 pandemic

37.7% of U.S. small businesses (up from 35.8% in early June but down from 45% in early May) and 59.5% of U.S. retail trade businesses (up from 55% in early June but down from 66% in early May) experienced disruptions in their supply chain.

31.2% of U.S. small businesses (down from 50.3% in early June and 74% in early May) have experienced decreased operating revenues.

10.7% of U.S. small businesses (down from 13% in early June and 27.5% in early May) had a decrease in the number of paid employees.

46% of U.S. small businesses (up from 41% in early June and 31% in early May) believe more than 6 months of time will pass before their business returns to its usual level of operations.