Small businesses are hurting at the worst possible time

Washington CNN — Enjou Chocolat, a small business in Morristown, New Jersey, is still feeling the pain of inflation these days — from soaring cocoa prices to increased labor expenses. Like everyday consumers, small businesses have also felt inflation’s wrath over the years — and they remain angry about it, according to monthly surveys from the National Federation of Independent Business. According to the NFIB’s latest survey of roughly 1,200 small businesses, a seasonally adjusted 26% of them said in October they plan to hike prices. “They’re still getting inflation on all sides.” Ever since inflation took off in 2021, it has consistently been named the top concern among small businesses in the NFIB’s monthly sentiment survey. Scott Olson/Getty Images “While consumers are concerned about some of the inflationary pressures and their holiday budgets, there’s still a real commitment to support local businesses,” said Sarah Jordan, chief marketing officer at Constant Contact, which released a recent survey showing that 78% of more than 3,000 consumers surveyed said they “plan to holiday shop at a small business they have never purchased from before.” There’s also no sign that the American shopper is cutting back just yet: Fresh government figures released Friday showed that retail spending advanced 0.4% in October, slightly higher than expected, while the September figure was revised up sharply to a robust 0.8% increase from the 0.4% initially reported.