Monday, October 14, 2013

Is the Government Shutdown Helping or Hurting your Online Business?


With the Government shutdown still in effect, many businesses are seeing a change in their online traffic.  Depending on what type of business you have depends on if the shutdown has helped or hurt your business. is an online business that has seen a 50 percent jump in visitors since the beginning of October.  The dating website is geared towards finding a ‘Sugar Daddy’ and has had a 1000 new sign-ups since the beginning of the month.  Single moms and college students hold the majority of the new members.  Is it fair to say it’s because of the shutdown?

Programs like WIC (the Special Supplemental Nutrition Program for Women, Infants, and Children) have been put on hold because of the shutdown.  This program alone helps more than 9 million moms nationwide.

Also, sites like YouTube and other social media sites have seen an increase in traffic.  YouTube viewers have gone up 36% in the last few weeks, maybe from all the furloughed workers not knowing what to do with their spare time.


On the other hand, many e-commerce business’s have seen a significant drop in traffic since October 1st.  Businesses that deal directly with government owned agencies such as schools, investment banking, and housing agencies have been put to a halt.

Companies that aren’t directly furloughed are still being directly affected.  Companies don’t just rely on themselves to run smoothly, they often partner up with other companies for a growing customer base and financial security.  Businesses can be looked at as a human body; each limb is it’s own entity but together they work as one.

There are 30 million small business each year that start up with the intent on partnering up with another company.  The Government shutdown has cut off our leg and is crippling the economy as a whole.
The SBA(U.S. Small Business Administration)  approves about $400 million small business loans a week, that is when the government is working.

Here are some major companies that are in jeopardy because of the shutdown:
  • United Technologies Corp – Aerospace business that makes Silorsky helicopters and other items for the military, 5,000 workers have been furloughed.
  • Boeing – Aerospace and defense company are having delays in its jetliner deliveries including its new 787 Dreamliner because of thousands of U. S. aviation officials that have been idled.
  • Wal-Mart Stores Inc – Sam’s Club chain saw a dramatic drop in sales at its warehouse stores near government facilities.
  • USEC Inc – The uranium fuel supplier has been awaiting funds from the U.S. government for an enrichment project that is on standstill from the shutdown.
  • Wells Fargo – Chief executives from major financial institutions have warned of “adverse” consequences from the shutdown if lawmakers fail to raise the debt ceiling by mid-October.

The economy as a whole is feeling the effects of the shutdown.  Fisherman are awaiting along the shoreline for a “go”,  the National Security’s reduced staff poses a threat to our safety, half of our U.S. Defense Department has been furloughed, Department of Housing and Urban Development aren’t providing payments to public housing, National Institutes of Health cut off clinical study treatment, leaving many with life-threatening illnesses out in the cold, and the Environmental Protection Agency is closed, meaning there are no regulations on how much we are polluting the earth and no one cares.

It has been 14 days and the shutdown is starting to impact everyone in the United States.  So good luck to small business owners, we hope you are able to stay afloat in this time of crisis.

While federal employees watch the clock and fight over the budget, we are watching our bank accounts praying work will soon be back to normal.

Has the shutdown affected you personally?  Please tell us your story in the comments below.

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U.S. Shutdown May Be Driving Traffic To ‘Sugar Daddy’ Sites – NPR
October 5, 2013

SHUTDOWN IMPACT: 13 Days after the federal government closed, affects are felt across many agencies – NY Daily News
October 13, 2013

How government shutdown would hurt Americans – CNN

Factbox: U.S. companies affected by government shutdown – Yahoo News–business.html

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