New Zealand markets open in 9 hours 3 minutes
  • NZX 50

    11,730.52
    -29.49 (-0.25%)
     
  • NZD/USD

    0.6457
    +0.0027 (+0.41%)
     
  • NZD/EUR

    0.6286
    +0.0060 (+0.97%)
     
  • ALL ORDS

    7,288.80
    -36.60 (-0.50%)
     
  • ASX 200

    7,032.50
    -38.50 (-0.54%)
     
  • OIL

    91.88
    -2.46 (-2.61%)
     
  • GOLD

    1,818.90
    +11.70 (+0.65%)
     
  • NASDAQ

    13,565.87
    +273.89 (+2.06%)
     
  • FTSE

    7,500.89
    +34.98 (+0.47%)
     
  • Dow Jones

    33,761.05
    +424.38 (+1.27%)
     
  • DAX

    13,795.85
    +101.34 (+0.74%)
     
  • Hang Seng

    20,175.62
    +93.19 (+0.46%)
     
  • NIKKEI 225

    28,546.98
    +727.65 (+2.62%)
     
  • NZD/JPY

    86.1590
    +0.6720 (+0.79%)
     

Survey Finds Inflation and Supply Chain Issues Disrupting All Aspects of Small Business

·4-min read

DALLAS, June 30, 2022--(BUSINESS WIRE)--National Write Your Congressman (NWYC), an organization that gives small businesses a voice in government, released its latest Quarterly Index which found 90 percent of business owners citing a disruption of services, operations or manufacturing due to problems with the supply chain. Half of business owners see supply chain problems easing in more than one year, and 31 percent believe problems will not ease for another two to five years.

"Inflation and supply chain issues have permeated every part of small business and every industry. Small business owners are having to make hard decisions on whether to stay open, grow, hire more employees, scale back and pass on the additional costs to customers," said Randy Ford, president and COO of National Write Your Congressman. "Our members are motivated to connect with their member of Congress to share their concerns as they expect these problems will not be over for another two to five years."

Furthermore, 74 percent of business owners are seeing increased prices on inventory, products and materials. Only four percent of business owners say supply chain issues are not affecting their business.

"Inflation and supply chain shortages have caused us to purchase and maintain higher inventory levels of many materials and supplies and has created the need for complex contingency planning. We are a strong company and will continue to be successful, but I fear many companies will not make it through these tough times," Spencer Jorgensen, Co-owner, ADCON Signs in Fort Collins, Colorado.

Business owners have had to change the way they conduct business due to inflation and supply chain issues: 66 percent are passing on costs to their customers, 11 percent are conserving funds by not ordering certain materials or inventory that is unnecessary, and 18 percent are re-thinking the way they do business.

"High gas prices and supply chain issues have caused us to change how we do business. It affects every aspect of our business model," said Tim Alderson, President, FarmPLUS Insurance Services in Keeling, Virginia.

Thirty-two percent of business owners surveyed said their business was currently growing when asked about the overall state of their business. Forty-six percent of small business owners said their business has remained flat. High inflation, following by hiring qualified workers, and keeping up with rising costs of employee pay/salary were the top three concerns for business owners.

"Supply chain issues, inflation and now gas prices are making us adjust our prices so high that we are losing long serving customers that can't afford our services any longer," said David Jacobi of Adventure Sports in East Stroudsburg, Pennsylvania.

"Rising inflation is hurting our business in several ways. The rising interest rates are driving up our costs of purchasing new equipment, and the inflation seems to have the consumers slowing down in the needs for our services," said Gary Hoffman of Tow King in Waco, Texas.

Congressional Sentiment

Congressional sentiment grew slightly from last quarter. Fifty-seven percent of small business owners said they are confident their U.S. Congressional Members know their opinions on important issues, a percentage point increase from last quarter. Thirty-six percent believe their own elected U.S. Congressional Members act according to their constituents' input. Thirty-five percent of small business owners surveyed said they trust the elected U.S. Congressional Members who represent them.

NWYC’s Quarterly Index Score increased with an overall increase in hope, satisfaction, and trust in Congress. Members’ trust, hope, and satisfaction with their local government was highest compared to their satisfaction, hope, and trust in state and national government. More information can be found in the Q1 2022 Quarterly Index.

NWYC provides members with non-partisan information and research along with the tools they can use to connect with their representatives in Washington and advocate for the policies and actions that will help their small businesses be successful for their families, their employees, and their communities.

Methodology

NWYC collected data using an online survey administered from June 1 to June 13, 2022. A total of 1,014 respondents participated. Respondents represent 48 of the 50 states in the U.S. Fifty-six percent of business owners surveyed employ 1-9 employees and 40 percent employ 10-99 employees.

About National Write Your Congressman

National Write Your Congressman (NWYC) is an organization that gives small businesses a voice in American government. As the nation’s largest, privately held, nonpartisan membership organization made up of small businesses, NWYC is dedicated to the delivery of constituent opinions to representatives in Washington. For more than 60 years, NWYC has provided small business owners and operators the tools necessary to connect with members of Congress and a platform to let their collective voice be heard. NWYC’s team of experts provides unbiased, nonpartisan information and research on top issues and pending legislation relevant to small business owners today. NWYC presents both sides of the issue so that members can form an educated opinion and let their opinions be heard.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220630005764/en/

Contacts

Media Contact:
Anthea Danby
214-205-8062
anthea@minervaco.com

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting