37% of Small Businesses Could NOT Pay Their Rent in October.

A new report from Alignable, a network of 7 million small business members, reveals that over one-third of small businesses in the United States could not pay their rent in full in October.

It’s up by 7 percentage points compared to the prior month and now at the highest rate for this year, according to the survey.

Inflation Is Killing Small Businesses

The head of research at Alignable, Chuck Casto, says that small business owners are resilient but incomes are “basically being eaten away by inflationary pressures.”

The findings reiterate how awful things are economically. No matter how many times our politicians try to convince us otherwise, we the people see it, feel it, and are suffering from the repercussions of our corrupt leaders in office.

More than 50% of small business owner report that their rent is at least 10% higher than it was six months ago.

Roughly 49% of restaurants were not able to pay their rent in October, up from 36% in September, while 37% of real estate agents couldn’t pay their rent, up from 27% last month.

Real estate agents are struggling tremendously right now, as a result of a decrease in home sales due to higher mortgage rates.

Almost 50% of autobody shops and car dealerships were unable to pay rent this month, according to the report.

The survey also revealed that one-third of businesses are at risk of closing if revenue does not “ramp up” in the coming months.

Everything has gone up. If war happens, things will only get worse.

The survey of 4,789 small business owners was conducted between Oct. 15 and Oct. 27.

Consumer food prices increased by 10.9% from July 2021 to July 2022, the largest 12-month increase since the period ending May 1979.

Prices for food at home rose by 13.1% in the last 12 months, the largest 12-month increase since the period ending March 1979.

Prices for food away from home rose 7.6 percent from July 2021 to July 2022.

Energy prices rose by 32.9% over the past 12 months.

Gasoline prices increased by 44.0% and fuel oil prices rose by 75.6%.

Consumer prices for electricity rose 15.2%, the largest 12-month increase since the 12 months ending February 2006.

Prices for natural gas increased 30.5% over the last 12 months.

 

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