The U.S. Census Bureau approximates that Connecticut lost 850 services and nonprofits throughout the very first year of the coronavirus lockdown.
“It is always a loss any time a business has to close its doors, but particularly when small businesses do, as they make up the backbone of our local communities,” Andrew Markowski, Connecticut state director of the National Federation of Independent Business, told The Center Square. “The impacts that are felt are not just economic, but also become a matter of perception.”
Merchants who employ 5 to 9 individuals were harmed the most throughout the very first year of the pandemic. The state’s tiniest financing and hospitality organizations saw the next largest impact. There are approximately 100 less financing and hospitality companies running today than there were prior to the COVID panic.
Other elements adding to service closures included having a hard time remaining open, or owners choosing to take a break due to health or individual factors. Some company owners merely retired early, and still, others dealt with other difficulties that resulted in them shutting their doors.
Markowski stated some markets and organizations have actually fared much better than others and are gradually beginning to recuperate.
“But even for those small businesses who were not as adversely affected by the pandemic as others, there is a lot of trepidation and uncertainty in the economy right now,” Markowski said. “According to NFIB’s most recent Small Business Economic Trends report, small business owners are not confident that economic conditions will improve over the next six months. Inflation and labor quality are still top concerns.”
Gov. Ned Lamont is proposing a tax credit for companies with a minimum of 25 staff members who devote themselves to employing more. The Governor has likewise stated he would choose to strengthen the state’s economy naturally by supporting more start-up businesses.
“The state does offer various tax incentive programs for new businesses or those that add jobs in Connecticut,” Markowski said. “But for most small businesses, often the best incentive is simply having a robust state economy coupled with a pro-business tax, regulatory and legislative climate.”
H/T Just The News