Inflation isn’t only costing small businesses money.
At the Bushwick Grind Cafe in Brooklyn, New York, Kymme Williams-Davis has raised prices and switched to different types of goods to keep up with the rising costs of milk, coffee, paper goods and plastic, as well as shortages of items such as paper cups and plastic lids. She hasn’t experienced anything like this since opening in 2015.
On Tuesday, the government is expected to report that price increases slowed in August compared with a year ago, largely because of a steady drop in the cost of gas. Prices for other items, particularly food, are likely to keep rising quickly. Overall, economists forecast consumer prices rose 8.1% in August, compared with a year ago,For much of the pandemic, small business customers were largely tolerant of price increases and kept on spending. But now owners say they’re seeing some pushback.
“Among a lot of my older customers, who are on restricted income like Social Security, they say they have to cut back,” she said. “They say, ‘I know I need these tires, but I need to make a couple more rounds to save up.’”“Right now , it kind of sucks because costs increased faster than I could catch up with. In time, I hope people budget better and their incomes change to reflect the economy.
“Last year has been challenging to say the least,” she said. “All prices across the board have gone up.” Everything from cardboard, containers and the food that she includes in the baskets have become more expensive.She implemented a 5% increase to cover some costs. After she raised the price of her most popular get-well gift basket called “One Tough Cookie,” from $27.50 to $28.95, sales went down, she said.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
As small businesses raise prices, some customers push backNEW YORK (AP) — Inflation isn’t only costing small businesses money. It’s costing them customers as well. At the Bushwick Grind Cafe in Brooklyn, New York, Kymme Williams-Davis has raised prices and switched to different types of goods to keep up with the rising costs of milk, coffee, paper goods and plastic, as well as shortages of items such as paper cups and plastic lids.
Read more »
Labor union toolkit for small businesses unveiled by SBA, DOL, NLRB and others - Dallas Business JournalUnion efforts are on the rise across the nation, and new federal resources aim to help small businesses navigate the process. Here's what businesses need to know.
Read more »
Local Opinion: Would we be as united today as we were on 9/11?OPINION: 'Despite being such a small gesture, their kindness in the parking lot is one of the moments that I have been raised to think of when I reflect on that day. Rather than drive us apart, the horror of…
Read more »
Mandela Barnes Mocked Business Owners as 'Selfish' After Pademic LockdownPro-lockdown Wisconsin Senate Democrat candidate Mandela Barnes mocked small business owners as “selfish” after the pandemic, a video unearthed by the Republican National Committee shows.
Read more »
Oberlin College to pay $37 million to local bakery after students alleged racismThe college said it will pay nearly $37 million to a local bakery that sued the school for libel following a 2016 shoplifting incident involving three Black students.
Read more »