A new survey from CFIB found that a mid-range estimate shows 21,000 small businesses at risk of closing in B.C. (Ashley Wadhwani/Black Press Media)

21,000 small businesses in B.C. at risk of closure due to COVID-19: survey

Sectors like hospitality hardest hit, while others like agriculture and construction remain more stable.

A survey done by the Canadian Federation of Independent Business (CFIB) found that more than 21,000 small businesses in B.C. are at risk of closing.

These numbers don’t include businesses that have already closed due to COVID-19.

The CFIB has set up a website that tracks small businesses’ recovery throughout the COVID-19 pandemic. According to their data, in B.C. only 64 per cent of small businesses are fully open, only 32 per cent of fully staffed, and just 27 per cent are recording normal sales.

The survey, completed by over 5,000 CFIB members, also showed that one in seven small businesses in Canada are at risk of going under. That’s 14 per cent of all small and medium businesses.

“Small businesses are big players in our economy, so minimizing business losses is critical to recovery,” said Laura Jones, executive vice-president at CFIB.

“Right now both government support and consumer behaviour are critical to transitioning back to conditions that allow businesses to survive and thrive.”

CFIB estimates that business closures in B.C. due to COVID-19 will range from the low end of 6,395 (4 per cent), to the high-end estimate of 28,920 (16 per cent). A medium range for this estimate is shows that over 21,116 (12 per cent) are at risk.

While CFIB said that they haven’t analyzed the breakdown between rural and urban small businesses, they say that business sectors have been a bigger factor in how well a business is currently doing.

“In sectors like hospitality, those regions will be harder hit, compared to sectors like agriculture and construction,” said Jones. “That’s been a bigger factor than geography.”

Jones and the CFIB know that business closures are inevitable. Their hope and goal is that government can help bring those closures to the lower range of the CFIB’s estimates.

READ ALSO: A restaurant check-in for B.C.’s next phase of restart

Jones added that while some government support has been useful to businesses, there’s a key section of their recovery plan being left out – rent.

“One in three businesses are saying that rent support is missing,” said Jones.

While government support will be key in recovery for small and medium-sized businesses, consumers will play a large role in helping keep these establishments open.

“There’s been a lot of shopping that’s shifted to larger businesses like Walmart and Amazon,” said Jones. “We’d really like for that to shift back and for consumers to support their local small businesses.”

The methodology for the study shows a margin of error of plus or minus 1.3 per cent, 19 times out of 20.

Like us on Facebook and follow us on Twitter.

Want to support local journalism? Make a donation here.

CoronavirusSmall Business

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Province, feds, Wet’suwet’en announce progress in MOU talks

Community engagement process launched to implement northern B.C. First Nation’s rights and title

Province, feds, Wet’suwet’en announce progress in MOU talks

External community engagement process launched to help implement Wet’suwet’en rights and title

Wet’suwet’en checkpoint material remains alongside forest service road

Checkpoint featured in Coastal GasLink pipeline protests

Burns Lake local captures cycle of life

Burns Lake Brian Mailloux captured a photo of this Golden Eagle with… Continue reading

LDAC features Tweedsmuir Fiddlers and Thea Neumann at Burns Lake Community Market

The Tweedsmuir Fiddlers entertained shoppers with their performance two weeks back during… Continue reading

‘Don’t kill my mom’: Ryan Reynolds calls on young British Columbians to be COVID-smart

‘Deadpool’ celebrity responds to premier’s call for social influence support

Widow of slain Red Deer doctor thanks community for support ahead of vigil

Fellow doctors, members of the public will gather for a physically-distanced vigil in central Alberta

Protesters showcase massive old yellow cedar as Port Renfrew area forest blockade continues

9.5-foot-wide yellow cedar measured by Ancient Forest Alliance campaigners in Fairy Creek watershed

Taking dog feces and a jackhammer to neighbourhood dispute costs B.C. man $16,000

‘Pellegrin’s actions were motivated by malice …a vindictive, pointless, dangerous and unlawful act’

Racist stickers at Keremeos pub leaves group uneasy and angry

The ‘OK’ hand gesture is a known hate-symbol

VIDEO: World responds to B.C. girl after pandemic cancels birthday party

Dozens of cards and numerous packages were delivered to six-year-old Charlie Manning

Expected fall peak of COVID-19 in Canada could overwhelm health systems: Tam

National modelling projections released Friday show an expected peak in cases this fall

Hundreds of sea lions to be killed on Columbia River in effort to save endangered fish

Nearly 22,000 comments received during public review were opposed, fewer than 200 were for

Most Read