Survey Says:

SCORE surveyed pre-startups and startups in early April 2020 about how they think coronavirus could affect their business.  492 business owners responded with 125 respondents identified as thinking of starting a business or in their first year of business ownership.  The respondents were:

  • 65% of those surveyed are solopreneurs
  • 28% have 2 to 5 employees
  • 5% have 6 to 10 employees
  • 2% have 11 to 20 employees
  • 2% have 21+ employees

The types of businesses owned by the respondents were in a variety of industries as shown below:

  • 0.9%: Travel                                                                                  
  • 1.7%: Agriculture, Farming, Fishing & Hunting
  • 1.7%: Banking, Finance & Insurance 
  • 1.7%: Construction 
  • 1.7%: Hotels and Accommodations
  • 2.6%: Real estate, Rental & Leasing
  • 3.4%: Home Maintenance Services
  • 3.4%: Nonprofit, Public and Professional Organizations
  • 3.4%: Manufacturing & Industrial
  • 4.3%: Education/Day Care            
  • 4.3%: Technical & Scientific Services
  • 5.2%: Transportation & Warehousing                                              
  • 6.9%: Personal Services
  • 8.6%: Arts, Entertainment & Recreation
  • 8.6%: Health Care & Social Assistance
  • 10.3%: Retail & Wholesale Trade      
  • 12.9%: Restaurants & Food Services     
  • 18.1%: Professional & Business Services

Startups generally have a “wait and see" attitude as they responded to this question: “How has your attitude changed about starting or continuing your business over the past month?”.  Here is a breakdown of their feelings:

  • 43.9%: Still waiting to see what happens
  • 20.2%: No Change
  • 18.4%: Scaled up my plans
  • 14.9%: Scaled down my plans
  • 2.6%: I have abandoned my plans    
  • 25% of startups have received outside financial help
  • 3.7%: Expanded lines of credit
  • 4.6%: Improved payment terms from vendors  
  • 7.3%: Crowdfunding or other community requests
  • 7.3%: New loans
  • 10.1%: Delays for existing loan payments

While you may be facing uncertainty, there is one thing you can be certain of: SCORE is here for you. Work with a SCORE mentor and visit our Coronavirus Small Business Resource Hub as found on www.score.org.

About the Author(s)

Dean Swanson

Dean is a Certified SCORE Mentor and former SCORE Chapter Chair, District Director, and Regional Vice President for the North West Region, and has developed and managed many businesses. The Rochester Post Bulletin publishes his weekly article on a topic geared toward the small business community. The articles here are printed in their entirety.

Certified SCORE Mentor for the Southeast Minnesota Chapter

Key Topics

Business Planning in a COVID-19 World