Small Business Closures in Detroit Metro

Description

With fewer financial resources than corporations, small businesses are more vulnerable to closure due to the pandemic. SEMCOG uses two sources to track small business closures and both show different rates. The first source is from the Census Bureau's Small Business Pulse Survey. It is a voluntary, longtidunidal survey with a sampling frame of almost 900,000 single-location businesses. Respondents are asked if their business either temporarily or permanently closed a location in the previous week. The survey covers almost all private-sector industries, including construction, manufacturing, retail, finance, professional and business services, and leisure and hospitality. The second source is from Opportunity Insights Economic Tracker. Using credit card transaction data from 500,000 small businesses, Opportunity Insights estimates closures from the number of small businesses not having at least one transaction in the previous three days. The data cover many industries, but some seem to have broader coverage than others, including: healthcare services, leisure and hospitality, and retail and transportation. There seems to be less coverage in manufacturing, construction, and finance.