Latest Government Shutdown Can Have An Impact On Your Small Business

Latest Government Shutdown

This is a third government shutdown in the last 13 months. Previously first take place in January 2018 lasting for two days and another in February 2018 for just nine hours.

This time President Donald Trump insisted that the shutdown will not end unless Congress funds the border wall.

Government shutdown over border funding may impact the Americans if the shutdown lasts longer.

If it continues much longer, small businesses will start experiencing the negative effects of the shutdown.

The shutdown started on Dec. 21, 2018 at midnight because House and Senate failed to pass a spending bill which included the $5 billion Trump wanted for the border wall.

According to the Senate committee report, the shutdown means roughly 800,000 federal employees will stop getting paid, and about 380,000 of them would stop working.

The shutdown also impacts farmers, small business, homeland security, commerce, steel & aluminum industries, and some other industries.

Impact on Small Business

Small businesses will get impact from a prolonged shutdown. ‘More than 30 million U.S. small businesses employing 59 million employees would no longer have access to federally-assisted loans and technical assistance, as Small Business Administration guarantees to back loans would freeze.’

In addition to seeing fewer customers, business owners will also have a hard time accessing federal resources.

The impact of a government shutdown affects local, state, national and international businesses. A long shutdown means, businesses might have to wait until the federal system is back on track.

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