Small biz owners feeling weight of economic crisis

Summary

The financial crisis and reduced consumer spending have some small businesses struggling to survive. Many small business owners put their lives into their stores. Now, watching the roller coaster economy, many wonder how long they can hang on.

Story Published: Oct 15, 2008 at 4:13 PM PST

Story Updated: Nov 21, 2008 at 2:58 AM PST

Small biz owners feeling weight of economic crisis
SEATTLE -- The financial crisis and reduced consumer spending have some small businesses struggling to survive.

Many small business owners put their lives into their stores. Now, watching the roller coaster economy, many wonder how long they can hang on.

At Romanza, a Ballard specialty shop filled with Halloween novelties and pricey candies, these are troubling times. Business is down, anxiety is up. And small business owners are issuing a plea for customers to keep their buying power close to home.

"We're really hoping people stick to that idea of shopping local, get away from those box stores," said Vince Harris, the owner of the store. "Please shop locally. Support your local people. It's the best thing you can do for all of us."

At the upscale kids' store, Mon Petit Shoe, sales are holding steady. But like many businesses, new merchandise is ordered up to six months in advance. And there are worries about an economic hangover dragging into springtime.

Store owner Tiffany Lysene says she finds herself asking questions.

"(I'm asking myself) 'did we buy too much? Are we going to be owing people more money than were getting in? What's really going to be happening?'" she said. "Not losing a lot of sleep, but thinking about it a lot more than we used to."

It's hard for shop owners not to flip out these days, especially at stores where people can put off buying something like a custom picture frame.

"Everything I've been reading says that we should look out. I still have a lot of hole for Ballard and Seattle," said Peter Kisbye, a store owner.

Still, customers are spending, even leaning on comfort purchases to escape, educate or enlighten.

"For most of my customers, books are not a disposable income thing. They're a part of their lives," said Christy McDonald, a bookstore owner.

But with so many of us eying our frightening financial situations, people are cutting back. And with the critical holiday shopping season getting underway soon, it could be a grim close to year that held such promise.

The holiday shopping season often makes up 75 percent of a store's annual revenues. Many stores are putting up their holiday displays earlier this year.