Inflation continues to eat away at the profits of small businesses

Inflation

June 1st, 2026

A brick storefront with a white car in front of it — The storefront of Friedman's Shoe Store in South Downtown. (Julien Virgin/WABE)

Inflation remains a growing concern for Georgia’s small businesses. This is leading some entrepreneurs in DeKalb County to seek additional ways to access capital, such as loans.

According to recent Bank of America data, spending on gas alone has jumped over 30% year over year in April for small businesses across the country. Small business profitability fell by over a percent in the same period, marking the weakest reading in two years.

Decide DeKalb is seeing an increase in applications for its loan and technical assistance program.

“We are hearing from businesses that are finding those input costs to be more expensive. Input costs would include fuel costs, but things like importing supplies and things like that are proving to be challenging for some of these businesses,” said Geoffrey Loften, who oversees the program.

Loften said entrepreneurs are struggling to keep up with rising prices.

“There are workforce challenges as well as challenges with access to capital that these businesses are facing,” said Loften.

He said over 100 businesses have reached out about the loan program that started late last year, and the number continues to grow.

“We have closed on one so far, and then we have two that are in the process of closing at this point, and so in our pipeline we have about eight more businesses that we’ll be looking to get through that process here in the next month or so,” said Loften.

Qualifying applicants could receive a loan of up to $50,000 to $150,000 at a 5% interest rate. The term of the loan is up to seven years with an application fee of up to $100, paid at closing.

Eligible uses include renovations, equipment and business expansion. To qualify, businesses must meet several criteria, such as holding a valid business license in DeKalb County or a DeKalb municipality, having been in operation for at least 24 months, and having a personal credit score of at least 600.