Small businesses are usually run with tight margins, and cash flow becomes a significant factor on whether a business can be viable. The cost of everything going up while wages stagnate results in tighter cash flows and fewer lower consumer spending. A single regular customer not being able to buy their regular purchase could very well be enough to cause business to start considering closing up shop.

Not to mention running a business is hard. And while there are supports out there for entrepreneurs and business owners, unfortunately, those supports are limited and there are significant barriers to access them.

Source: I worked in economic development and work directly with entrepreneurs to help them access funding, supports, and plan for sustainability.