Small businesses are raising alarms about the challenges they face in an uncertain economy, particularly regarding tariffs and international competition. During a recent U.S. Senate Committee on Small Business & Entrepreneurship meeting, entrepreneurs voiced their concerns about the disproportionate impact of tariffs on smaller companies compared to their larger counterparts.

One business owner highlighted the struggle of small businesses to unite and advocate for their interests, stating, “We’ll never be able to hire lobbyists to get access that the larger companies can pay for.” This sentiment underscores the difficulties small businesses encounter in making their voices heard in policy discussions.

The conversation shifted to the effects of tariffs on international trade, with several participants sharing anecdotes of lost customers abroad. One entrepreneur noted receiving messages from Canadian clients expressing their intent to stop purchasing American products due to rising costs and tariffs. “Canadians in particular have been speaking with their wallet,” they said, indicating a significant shift in consumer behavior that could threaten their business.

Another participant pointed out that while larger companies can absorb the financial strain of tariffs, small businesses often lack the reserves to weather such storms. “Most small businesses don’t have a few months to wait,” they explained, emphasizing that the competitive landscape is skewed in favor of larger firms that can better manage regulatory changes.

The discussion also touched on the growing anti-American sentiment in Europe, which poses additional challenges for small outdoor brands that rely on international markets. “If those boycotts take hold, it could be the end for us,” one entrepreneur warned, highlighting the precarious position of small businesses in the global marketplace.

As the meeting concluded, participants expressed hope for a more stable tariff environment that would allow small businesses to compete more fairly. “If we knew it was going to be 10% going forward, it’d be a better world,” one business owner remarked, suggesting that predictability in trade policies could provide the necessary breathing room for small enterprises to thrive.

The discussions at this meeting reflect a critical moment for small businesses, as they navigate the complexities of an evolving economic landscape while striving to maintain their foothold in a competitive market.