Small businesses, which make up 98% of retailers and support more than 13 million American jobs, are particularly vulnerable to tariffs. Learn more.
Small businesses are the backbone of the retail industry, with over 98% of retailers employing 50 employees or less and supporting over 13 million American jobs. This week marks National Small Business Week, designated by the U.S. Small Business Administration to celebrate the contributions of small businesses to the economy and recognize their hard work and dedication
However, this year’s celebration is dampened as small businesses grapple with uncertainty and rising costs due to broad-based tariffs.
We spoke with three small retailers to understand how they feel about National Small Business Week in light of these challenges and to learn how they continue to support their customers despite record-high tariffs.
“We have always prioritized domestic sourcing and manufacturing to support American jobs and maintain consistent quality,” says Sean Brownlee, a former Marine and owner of Ravenox, a rope manufacturer and retailer in North Carolina.
Despite that focus on domestic sourcing, he says ongoing tariff uncertainty has made long-term planning and investment decisions increasingly difficult.
“The broader ripple effects — increased costs in the supply chain, market volatility and uncertainty about future pricing — impact everything from our raw material procurement to our ability to competitively price products. It creates a cautious environment where expansion, hiring and new product development are slowed due to the unknowns,” he says.
Nonetheless, Brownlee says he is committed to strengthening his local economy. “Our partnerships with veteran nonprofits and local employment initiatives have helped create opportunities for veterans transitioning to civilian life,” he says, “particularly in rural and underserved communities.”
Uncertainty and high prices are top of mind for Daniela Sokolowski, owner of DiCuore Diamonds, a small jeweler in New York, N.Y. “My business has been reduced by more than half over the past six weeks, to the point where I’m currently losing money,” she says. “Unfortunately, if things don’t improve, I will lose my livelihood and be forced to close.”
As a cancer survivor who uses DiCoure to support women facing cancer treatment or hardship after treatment, supporting her community is deeply personal for Sokolowski.
“I donate 10% of the profits from my Survivor collection,” she says. “I also donate jewelry to a cancer walk. It brings joy to others, and it brings me joy to give back.”
As hardships mount due to rising costs and reduced business because of tariffs, Sokolowski fears she will no longer be able to support women battling cancer. “Closing would mean I can no longer support or uplift women — something that is a deeply important part of my life.”
“The tariffs are adding significantly to the cost of goods. That worries us about whether people will continue to buy the same goods for higher prices,” says Sarah Pitkin, owner of Pitkin’s Home Center, a home and garden store with four locations in the Manassas, Va., area.
As customers pull back on spending, Pitkin plans to teach them how to repair items instead of replacing them. Her team is also preparing to teach customers how to utilize available products as substitutes for those they may not be able to find or afford due to high tariffs.
Learn more about the issue of tariffs and why it matters to retailers today.
Pitkin is proud of how her business supports the community, including a focus on hiring people with disabilities. “Our stores work with the local schools and ensure that we are hiring a portion of our workforce from the underemployed population of people with significant disabilities,” she says. “We are proud to have at least 10% of our workforce as individuals with disabilities.”
Hear more from small businesses that are being impacted by tariffs by visiting NRF’s Tariffs Threaten the American Dream landing page.