Many people dream of becoming entrepreneurs, and often the biggest...
Letting technology do the heavy lifting for certain monotonous tasks...
Overhead costs—from utilities and rent to administrative staffing—can...
Growth triggers a tidal wave of financial complexity,...
August 24, 2021
Entrepreneurs are more cautious than ever as the delta variant of the coronavirus slows reopening efforts.
In March 2021, 67% of business owners were optimistic that the U.S. economy would bounce back by the end of this year. That report was published just one year after the COVID-19 surge first shuttered businesses across the country. But within the past five months, that figure has dropped sharply. As of August 2021, only 39% of business owners expect the economy to recover in the fourth quarter.
This confidence decline comes shortly after businesses ramped up over the summer. As mask mandates were dropped and establishments across the country began to reopen, revenue swelled. Consumer spending increased so quickly over the summer that shortages on thousands of products and ingredients, from french fries to used cars, drove prices for many goods to all-time highs. A few months ago, the economy seemed to be running on all cylinders. Now, the latest round of delta closures has come as a shock to many.
A larger number of business owners, up from 15% to 20%, also now believe the economy will continue to worsen before it improves. As these business owners are facing higher prices for the input goods they need, they are increasing their own prices to their customers. This impacts their projected sales and revenues for the remainder of the year as customers may struggle to continue purchasing.
Among small business owners, a recent Vistage survey revealed that 44% have already been impacted or expect to soon be affected by the increasing incidence of COVID-19 cases tied to the delta variant. Many of these small businesses have already survived a COVID-19 closure last year. Some are proactively reinstating their previous COVID-19 protection policies, like employee mask mandates and reducing occupancy, in an effort to prepare for anticipated local mandates.
With Labor Day around the corner, after which falls the expected return-to-office day for hundreds of small businesses just hanging on across the country, we’ll soon see how wide the delta variant’s impact will be.
Our team is made up of seasoned professionals who bring years of industry experience to the table. You gain a trusted advisor who understands your business inside out.
Say goodbye to the hassles of hiring, training and managing in-house finance teams. You will never have to worry about unexpected leave of absence or retraining new employees.
Whether you’re a small business or a global powerhouse, our solutions scale with your needs. We eliminate inefficiencies, reduce costs and help you focus on growing your business.
Overhead costs—from utilities and rent to administrative staffing—can quietly swell until they erode profit margins and slow your ability to...
Growth triggers a tidal wave of financial complexity, multi-entity operations, new product lines, overseas expansion, or investor relations. If your...
Mergers and acquisitions (M&A) can dramatically alter a company’s trajectory—unlocking new markets, technologies, or customer bases. Yet, many deals stumble...
Working capital: The difference between your current assets and your current liabilities. It’s a key barometer of financial health. While...
Expanding your team and capabilities is critical to sustaining growth—but the question often arises: Should you build an in-house department...
A Chief Financial Officer (CFO) isn’t just a numbers person anymore. Modern CFOs play a pivotal role in shaping strategy,...
Once your annual revenue surpasses $10 million, you attract more attention from regulators, partners, and customers, especially regarding data privacy....
Hiring is one of the most pivotal processes in any organization, particularly for a medium-sized business looking to scale. Yet...
At Escalon, we are committed to keeping our clients informed about the latest trends, challenges, and opportunities across the industries...