News stations in Georgia reported on the new China tariffs the Trump administration put into place. For the average consumer, they did not have an impact, at least not yet. However, if you own a small business, you may already feel the consequences.
CNBC explains the tariffs impose many challenges on small businesses. There is some uncertainty about the future and what this may lead to for these businesses. The impact is concerning for everyone because it could pose risks for small companies, which already often have trouble surviving among the bigger stores.
The most significant impact thus far is the increase in the cost of doing business. If your company gets supplies or products from China, then you may have seen this happen. You may want to try to find a new supplier, but that is hard to do. Larger companies already have contracts in place with those suppliers outside China. There are not many options left.
If you cannot switch suppliers, then one way to handle the situation is to raise your prices. This impacts consumers. However, since the bigger companies did not have to raise prices because they switched suppliers, consumers may leave your business to shop with them. In the end, you still may lose money.
Running a small business is a financial struggle until you find a loyal customer base. Many small businesses do not last the first year. This is discouraging enough without the tariff issues adding to the problems. If you are like many small business owners feeling the crunch from the tariffs, you may wonder what is in store for the future. It may be challenging to compete with large companies that do not have these same struggles.
The future also brings uncertainty as to what will happen with the tariffs. The Trump administration has already implemented changes, so it may not last, which may be a good thing for small businesses across the country.