Up to 40% of small businesses in major US cities risk closure

New Ideas in MarketingEssential news for marketers, summarised by YouGov
July 24, 2020, 8:31 AM UTC

Percentages of businesses with cash reserves lasting over three months jumped from 16.7%. to 27.4%.

Between 24% to 40% of small businesses in major US cities risk closure if business doesn’t return to normal, as per a LendingTree report. Nearly 11% of small businesses don’t know how long their cash reserves would last, and 2.4% have no cash reserves available.

40% of businesses in Hartford, Connecticut and 38% of them in St. Louis have less than one month of cash reserves left. Similarly, 36% of businesses in Miami, 29% in Phoenix and 27% of them in Dallas report the same.

However, over 60% of businesses in Portland, Detroit, and Austin have cash reserves that would last them beyond a month. Only 24% of small businesses in these cities have cash reserves that will last less than a month.

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