Guest columnist Sari Wiaz: Government, private sector must join to protect small businesses

By Sari Wiaz

Guest columnist

Shortly after debuting new products at a trade show in February 2020, the world came to a standstill. Everything had changed overnight, but my already tight margins didn't change. Surrounded by boxes filled with baby toys, I had to make some hard decisions about revenue and capital for my business. It was one of toughest challenges I had yet to face.

All entrepreneurs are tested over the life span of their companies but the existing gaps for women only widen when tough times arise. According to an earlier survey from Goldman Sachs, 48% of female-owned small businesses noted they were struggling financially compared to 39% of our male counterparts. On top of ongoing gender disparities, inflation, labor shortages and supply chain issues are making it harder for us to succeed. A new survey of graduates of Goldman Sachs' business education program, "10,000 Small Businesses," recently found that 78% of small business owners say the economy has gotten worse in the past three months.

But there is some good news. Sixty-five percent say they are optimistic about the financial trajectory of their business this year. Although the future may be daunting, I know entrepreneurs represent hope for the economy.

Nothing is more emblematic of the American Dream than starting a small business. It defines your financial future and makes a lasting impact on your community. I'm passionate about my business because my products bring joy and comfort to babies - and when someone loves your product, it fills your heart.

Through my journey, I was inspired by the entrepreneurs in my network to pivot by selling directly to consumers while continuing to sell wholesale to brick-and-mortar retailers. The decision created a chance for my company to make a profit during the pandemic. My lifeline was the EIDL loan, which enabled me to pay my creditors.

Even though entrepreneurs can creatively maneuver around economic headwinds, we need outside intervention and investments to ensure small businesses, especially those owned by women, can withstand future challenges. We must make our voices heard because our businesses are key to economic recovery locally and nationwide. To reach that goal, the government and the private sector must come together to find a solution. That's why I'm joining more than 2,500 entrepreneurs at the Goldman Sachs 10,000 Small Businesses Summit in Washington, D.C.

Top of mind for me is to ensure the government is living up to its promises of opening its federal contracts to more women- and minority-owned small businesses. The government also needs to enhance and bolster policies and programs designed to help small business employers and employees with the high cost of child care. Additionally, we need to see a modernizing of the U.S. Small Business Administration (SBA), which has not been reauthorized since 2000.

Despite obstacles known and unknown, I am encouraged by my fellow female entrepreneurs who continue to press forward. Spanx founder and CEO Sara Blakely said, "Don't be intimidated by what you don't know. That can be your greatest strength and ensure that you do things differently from everyone else." We must remember that our ability to pivot places us at the forefront of innovation.

• Sari Wiaz is the president of Wize Choice Creations d.b.a. Baby Paper in Northbrook, and an alumna of Goldman Sachs' 10,000 Small Businesses program.