40% Of Restaurants Still Can’t Pay The Rent — Worries Escalate About Eviction Moratorium Being Lifted
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Alignable’s July Rent Report has just been released, based on a poll of 5,911 small business owners that concluded last week. While there are some nice signs that the recovery is having a positive impact on rent payments, there are also many other indications that rent continues to be a major struggle for many small business owners in the U.S.
Restaurants Unable To Pay Full Rent In July
Here’s are some highlights:
- 40% of restaurants could not pay full rent in July, showing the extended effects of labor shortages and inflation on this industry. Times are even tougher for 64% of nonprofits, 50% of entertainers/artists, 48% of small businesses in the transportation sector, and 43% of event planners.
- 35% of ALL small businesses in the U.S. could not pay their July rent in full or on time (that’s slightly better than June, which was 37%).
- 52% of minority-owned small businesses still could not afford their rent in July. And 37% of women-owned businesses are in the same predicament, but only 23% of veteran-owned businesses are struggling with rent.
- With the Eviction Moratorium coming to an end on July 31st, worries are escalating about the small business owners who still can’t cover monthly rent payments and/or have back rent to pay.
- Some states are still facing challenges when it comes to small businesses paying rent in full — 46% of SMBs in Georgia couldn’t pay July rent, and the same goes for 41% of small businesses in New York and Massachusetts.
- Other states are in better shape right now, including FL (27%), VA (25%) and WA (18%).
To see the full Alignable July Rent Report, click here.
