Small business owners…has anyone closed?

[Rrrob]

I run a small business. It was meant to be the route out of 9-5 in a few years and I believed in it so much.

But.

Sales have dropped off a cliff over the last few months. I spend every spare waking minute doing business stuff and it’s leading to nothing.

I would hate to give up on my dream but every idea, every thing I try seems to lead to nothing so maybe it’s time to admit defeat. Sales have gone from 50 a week to literally none, or 2-3. People will be shocked if I close as somehow the business has the perception of being successful.

Has anyone closed their small business? Did you regret it? Any advice/ thoughts if you were in my shoes?

We’ve had to go on Amazon to sell, we used to sell quite frequently on our own site, it’s definitely been tough, Amazon charge really high fees so we’ve had to put the prices up to cover the fees! We actually have started selling well on there but I detest them and wish we could go back to our own website but it seems everyone buys off there nowadays

Can you do Amazon or another marketplace for your items?

Interesting idea @Dogmum40. Sorry to hear things have been challenging for you too.

I will look into amazon. I used Etsy at first before we had a website and actually sold pretty well on there. I have thought about reopening my Etsy shop….but it’s the faff of uploading all of the products again when everything feels pointless at the moment! Will give it some thought though, thank you.

Yes, my DH’s business. He could trade when the first lockdown hit and had to close temporarily. He piped along between lockdowns but it was just too unpredictable. He’s found himself a permanent employed job now. Not sure what the future holds for the business but we are enjoying some stability right now to be honest.

That should say he couldn’t trade

And limped not piped! Goodness me.

I am in the same boat, although on a bigger scale than you. I've had to let a member of staff go and moved one onto a zero hours contract. I've been going for ten years, fortunately I've been able to ride the wave, but I have never known a quiet period like the last six months. I'm debating about moving out of business premises and back home after Christmas if things don't pick up.
If I didn't have experience behind me I would have given up after this year most definitely. It sounds to me like you've started during the time when you could ride the wave of online shopping last year and you expected it to continue, but realistically you've not had chance to get going. This is the time to really see if you have a viable business. Last year was people viewing their businesses through rose tinted glasses because it wasn't normal. It took me years and years to get 50 sales a day while growing organically.
In your shoes I would see it out over Christmas and if what you sell are gift types and it doesn't pick up, then I would say you are flogging a dead horse. Running a business is not all it's cracked up to be and is often more stressful than the 9-5, as you are realising.

@delilahbucket god it’s so tough!! Yes you’re right. Gift type things, and since we started there are loads of new similar businesses. I don’t think I can compete with the bigger companies without investing, and don’t want to invest because I’ve stopped believing in it.

The sensible thing is to ride it out and see how xmas goes as you say. Sorry to hear things are tough for you too. The thing I find most frustrating is not knowing why/ being able to predict sales/ knowing what could make a difference.

Running a business definitely isn’t easy. I’ve learnt all sorts of skills (that will be useless if I stop),

I very nearly did during covid. We had a boost when the shops were allowed to open up but the last two months have been quiet. It looks like its across the board as my peers are slashing their prices - which I am reluctant to do as its a health service and it devalues the service. The nail shop across from me is doing a booming trade but my next door neighbour who has a clothes shop has been quiet too - she moved on to online and most of her sales are through there now. I am currently running at 35% capacity. We never fully recovered after covid.

I cant give it up as i have too much invested in this financially and blood sweat and tears.

Have you thought about facebook ads, you can do them from £5 a day ( although i spend a bit more on it and my google ads bill is eye watering.

@Evesgarden fb ads are a good shout. I used them at the beginning. I’ve seen lots of people talking about the algorithm and ads not really working atm. Do you find they work for you?

@Rrrob yes there are a lot of new businesses that have popped up and that has impacted me too because I have staff, overheads, VAT and I can't compete with those happy to earn £3 an hour. People don't realise when they start their little "business" but undercut massively and don't trade in accordance with the Consumer Contract Regulations, they are putting other people out of jobs who earn more than they do because they are employees, and therefore more is contributed to the system and then more jobs are created. For those who do everything above board it really is very difficult and you get to a point you are at whether you debate about just giving up because it isn't worthwhile.

I'm an accountant for small business and COVID has caused a huge tsunami through the economy.

Some have done better but many others have struggled - the main reason being the increased prices. Some have seen basic cost prices increase by 40 to 50 percent, making their business unviable unless it changes soon. We are working on various bespoke strategies for them to buy some time but it's a fast moving situation monthly - energy costs and ability to recruit experienced people being the most recent.

You are not alone, although that's of no help I know.