Springfield’s small business sector is grappling with rising costs and competition, forcing many entrepreneurs to consider bankruptcy. Local jobs are in peril, causing concern among the community. Business leaders are strategizing on ways to counter these market challenges, including small business alliances, unique services, and local community engagement.
Several businesses, such as Armbruster Manufacturing Company, Remarkable Resale, and Mosser’s Shoes, have announced impending closures. They attribute their struggles to economic hardships, decreased consumer spending, and pandemic-related impacts. These closings have sparked worries about the local economy and the future of small businesses.
Mosser’s Shoes, managed by the Piercy family, have cited increased rent costs as a significant factor in their shutdown. They plan to merge their Springfield branch with their Champaign location and remain hopeful for the future.
Mike Murphy, the Chamber of Commerce president, expressed worry over these closures. He highlighted the competition from big corporate entities and the constant inflationary pressure.
Addressing challenges in Springfield’s small businesses
Murphy empathizes with local entrepreneurs’ struggle to survive amid these economic challenges. He stressed the importance of community support and patronizing local stores to help the economy.
Murphy believes that community support of local diners could prove invaluable in ensuring their survival. He emphasized that spending at these establishments directly contributes to the local economy, fostering community spirit and providing employment. He expressed his faith in collective efforts to safeguard the future of local businesses.
Armbruster Manufacturing Company, amidst the ongoing liquidation, remains committed to their workers’ well-being. The management team is discussing ways to lessen impact on their workforce, and a temporary agreement has been constructed with union representatives to offer financial security.
The company’s premises clearance activities are ongoing, with a specialized team focusing on the task. Despite their current predicament, Armbruster hopes to leave a positive impact on the community.
According to the Bureau of Labor, only 25% of new businesses survive beyond 15 years. Therefore, strategic planning, comprehensive market research, and adaptability are crucial for a business’s long-term success in this unpredictable economic climate.
