Poll Finds More Than 35% Of Small Businesses Could Fail By End of 2020
Based on revenue, inventory projections, and the long-term impact of Covid-19, more than 35% of shops and restaurants might not survive to see 2021, according to research from Alignable’s Q4 Anticipation Poll.
The poll of 1,361 small retailers warns of what could lie ahead for small businesses on Main Streets across the U.S. and Canada. The research was collected between August 15-20 and offers these findings:
- 63% of retail business say they depend on Q4 sales to stay afloat
- 69% anticipate a decline in sales compared to Q4 2019
- 33% predict sales decreases in excess of 50%
- Retailers estimate needing at least 64% of Q4 2019 revenues to stay in business
The sobering findings suggest that more than 35% of retailers could close for good at the end of Q4.
“If consumers want to preserve the vibrance and character of their communities and their overall quality of life, they’ll take these predictions to heart. They’ll put on their masks, walk out of their homes, and spend a high percentage of their holiday shopping budgets at local retailers,” said Alignable Co-Founder and CEO Eric Groves. “By Q4, it’ll come down to a question of ‘now or never’ in many cases.”
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