Some small business owners are so frustrated with having to pause re-opening plans in states that are experiencing increased Covid cases that they have decided to close permanently - as with Krank It Karaoke in Wichita Falls, Texas. The owner had just spent $1000 in perishable goods and protective equipment in preparing for a weekend rush when the governor of Texas announced in late June that bars would need to close again. Almost 66,000 businesses have closed permanently since March 1st, according to Yelp data, and the number increased at a higher rate from June 15 to June 29 than in the previous three months. Harvard researchers believe the rate of permanent closures to be even higher at almost 110,000. Small businesses account for 44 percent of U.S. economic activity, and the loss of a considerable portion of this sector will lead to higher debt and unemployment as well as lower cash flow.
See "Small business owners frustrated as state re-opening plans pause due to increased Covid cases", Emily Flitter, New York Times, July 13, 2020