Shutdown crushes small business owners as losses hit billions — industry leaders beg Congress for ‘clean CR’

FIRST ON FOX: Small business owners are losing billions in funding due to the government shutdown, with industry leaders publishing a letter Monday demanding lawmakers pass a “clear CR” and reopen the federal government. 

“On behalf of our organizations representing millions of entrepreneurs and small business owners, we are calling on U.S. Senators to put an end to the instability and hardship by passing a clean continuing resolution, which will allow negotiations to continue on spending measures moving through Congress, including the future of the COVID credits that will expire at year-end,” a letter addressed to U.S. senators across the boardand first obtained by Fox News Digital states. “The viability of thousands of small businesses is at risk due to the shutdown, and it is unacceptable that the livelihoods of owners and their employees are being sacrificed for spending demands that can be resolved through regular order.” 

The letter was signed by six industry groups, including the Family Business Coalition, International Franchise Association, Job Creators Network, National Association of Wholesaler-Distributors, National Restaurant Association and the Small Business & Entrepreneurship Council. 

The government shut down Oct.1 after Senate lawmakers failed to reach a funding agreement before a midnight deadline. Leaders of both political parties have since cast blame for the shutdown on each other, with Republicans arguing Democrats sought taxpayer-funded medical benefits for illegal immigrants in their legislation, while Democrats have denied the accusation and claimed Republicans won’t join the negotiation table on healthcare for citizens. 

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The letter urged lawmakers to reopen the government while pointing to a handful of examples of how Americans are suffering due to the shutdown, including small business owners losing out on billions in funding. 

“According to the (Small Business Administration), 4,800 small businesses have been blocked from receiving $2.5 billion in capital since the start of the shutdown,” the groups warned. “Every day the shutdown continues means another 320 small businesses will not have access to the SBA-backed commercial loans these businesses were counting on for expansion and growth. Hundreds of thousands of workers are impacted by the suspension through furloughs, reduced jobs and wages, along with missed opportunities for local economies.”  

The Small Business Administration released data earlier in October showing 320 small business owners have lost $170 million in funding each day due to the shutdown, which has resulted in at least $2.5 billion in funding that cannot be delivered to business owners. 

White House spokeswoman Taylor Rogers told Fox Digital that the “Democrat shutdown” has caused “chaos” that is gripping business owners no matter the size of the company. 

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“From Wall Street to Main Street, the Democrat shutdown has generated unnecessary chaos and economic uncertainty. Millions of small businesses and entrepreneurs have made it very clear — it is time for Senate Democrats to pass the clean continuing resolution, reopen the government, and stop using Americans as ‘leverage’ for their radical policies,” Rogers said. 

The letter added that disruptions to air travel and air traffic controller shortages have affected business owners and consumers, alike, and that small business owners are feeling the pinch of “ever-increasing costs and diminishing choices” as they relate to healthcare coverage. 

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“With respect to the rising cost of health insurance premiums, small businesses have been the hardest hit by years of ever-increasing costs and diminishing choices. Premium tax credit expiration represents only a fraction of the reason why many small businesses are seeing hefty premium increases for next year. Lowering costs and increasing affordable choices will be resolved through comprehensive reforms that need to be addressed by Congress and state legislatures. Congress must commit to this important task as well,” the letter stated. 

“The effects of the shutdown will only grow wider with each passing day unless the Senate acts. Passing a clean CR is a smart, responsible, and bipartisan course of action. It will provide certainty for small business owners, employees and workers who are counting on actions from their elected officials that produce certainty and stability. We urge every Senator to support a clean CR that allows the appropriations process to move forward to ensure the federal government remains open and operational,” the letter said. 

The shutdown currently does not have an end in sight. Democrats such as Senate Minority Leader Chuck Schumer are taking issue with Trump traveling to Asia this week to meet with foreign leaders. 

“Americans deserve a government that works as hard as they do — not a leader that flies away from responsibility at the time they need one most,” Schumer said Friday. 

Speaker of the House Mike Johnson, when asked about Schumer’s remarks, told the media Monday that “President Trump has entrusted us to fix this because this is an Article I branch problem.”

“The president tried his best, he brought them in before all this madness started, and Chuck Schumer and Hakeem Jeffries effectively told him to jump in the Potomac,” Johnson said, CBS News reported. “So it’s up to the Democrats, everybody knows that. The president said he’ll meet with them on any issue under the sun. We’re delighted to talk about it, but they have to get the government reopened first.”