Inflation impacts small businesses
BIRMINGHAM, Ala. (WBRC) - Inflation is impacting us all. From the food we eat to the cars we drive, it’s all getting more expensive.
And the higher costs are hurting local business owners too.
Dr. Alexia Vaughn with Advanced Eye Care said the price of doing business has gone up significantly because everything she needs to do her job costs more.
She said everything from office supplies to the equipment she uses is much more expensive now than it was just a little while ago.
She said the cost of contact lenses and glasses have also gone up, so patients are having to pay more for those items, especially those without insurance.
Dr. Vaughn is paid mostly through insurance companies, and they’re still paying the same rate for services she provides, and insurers have not adjusted to inflation.
That impacts her bottom line and she’s not turning as high of a profit.
She also has her employees to consider.
“Employees’ wages need to keep up with inflation. So, a lot of businesses have had to do an inflation payroll increase. So, that has increased payroll amongst other items that’s on the expenses line like on your profit and loss. Yes. So, it makes earning a profit like even that much harder,” explained Dr. Vaughn.
Dr. Vaughn said adding to the stress is the fact that inflation is so unpredictable, and it’s unclear when the inflation rate will start to level off or come down.
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