Almost a third of Canadian small business owners raised prices by more than 10 per cent in 2022 to offset rising costs, a survey found — and the trend is continuing this year.
Inflation has been moderating from last year’s highs, but remains elevated, with a reading of 4.3 per cent in March. Meanwhile, the Bank of Canada is holding interest rates high in its bid to fight inflation. “There is this kind of balance between what makes sense from a margin perspective as a business owner, and then making sure that you're able to attract customers as well,” he said.
Almost a quarter of the small business owners surveyed said they started their business as a way to make additional revenue, a number Ownr said is increasing from previous surveys. Since she took that leap, inflation has soared, sending the costs of materials and raw ingredients up with it. For example, she said the cost of the pork shoulder she uses in her recipe has gone up significantly.
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