Small Business Owners Struggling With Inflation
WASHINGTON, Pa. (KDKA) - Business owner Stephen Stimpson says his shipping and notary businesses in the city of Washington were doing well when he became owner four years ago. However, he says it's not as easy as it once was.
"This is the roughest in the last four years. We were doing well in beginning," said Stimpson, a Navy veteran who owns Stimpson and Wright and Patriot Shipping. "Now with our cost of living going up and the cost of everything going up, we definitely see ourselves just breaking even anymore."
Stimpson says the cost of products has doubled. So has his utilities, and he's noticed a change in his customers' spending patterns.
"We've seen a lot of hits in shipping costs going up so people are shipping less," said Stimpson. "People can't afford our major business on the notary side, titles, registration and people can't afford used cars like they had previously."
Down the street at The President's Pub, Carrie Beckett says she's also feeling the pinch.
"Anything from beer costs rising around 20 percent to food costs, seafood and beef, anywhere between 20 and 30 percent," said Managing Partner of the President's Pub Carrie Beckett.
There's even a hike in prices for things like to-go containers, not to mention employee wages.
Beckett has owned the restaurant for the last six years.
Amy Wadas: Is this the worst in the last six years you've seen as far as costs go?
Carrie Beckett: "100 percent without a doubt."
She says she's reluctantly had to increase prices in order to stay afloat and at the same time, cut food from the menu because her suppliers couldn't get it in. Raising prices is something Stimpson is thinking about doing, too, in order to make ends meet.
"When we decide we have to look at our competitors to see how they're doing. Are they raising their prices? That's where we are going to be very soon," said Stimpson. "You gotta be concerned if I raise my prices too much am I gonna scare off my clientele and my customers."
Experts say there is hope.
"Pittsburgh kind of has this history of our ups being less up than everybody else's but conversely our downs being less down. So it's a more stable area economically and that's good for small business," said Associate Professor of Economics at Duquesne University Antony Davies.
"I am hopeful. I think this can't go on forever," said Stimpson.
Davies anticipates inflation being a dull ache for the next five to seven years. He suggests approaching it with cautious optimism while watching spending at the same time.
