After two several years oftroubles, Erica Gutierrez’s Mexican heritage store in Pasadena, California, is however just hanging on. Gutierrez’s has not taken a paycheck, and is surviving off savings and the help of her household.
Through the pandemic, the city gave her a $10,000 grant, but she has because employed all the resources. Now, her enterprise is struggling with inflation.
“We have to fork out a lot more for merchandise. We have to pay out a great deal much more for transport,” Gutierrez informed CBS News’ Carter Evans.
She mentioned she anxieties just about every working day that her enterprise will near, irrespective of hopes of selecting a 2nd personnel. She now fears she may possibly have to get a 2nd position.
“That’s a really actual factor since I have to figure out how to bring income to my dwelling,” she stated.
Nationally, 85% of small businesses experienced money problems in the very last year, in accordance to the Smaller Company Credit score Survey. The Countrywide Federation of Independent Enterprise Optimism Index uncovered that optimism among the modest business house owners is at its least expensive level in just about 50 yrs.
Pasadena Chamber of Commerce President Paul Minor claimed the metropolis has lost about 15% of its businesses since the pandemic began.
“The pandemic hammered most people. We all acquired to a stage in which we thought, ‘Well, at the very least we can get back to some measure of a regular.’ But it can be even far more tough now,” he claimed. “Inflation has really presented yet another problem to firms.”
Treasury Secretary Janet Yellen explained to CNN on Tuesday thatwhen she said very last yr that inflation only posed a small chance and wasn’t most likely to be a issue.
President Joe Biden met with Yellen and Federal Reserve Chairman Jerome Powell on Tuesday to examine designs to reduce inflation. Biden stated that is his