Survey: Federal Government Receives Failing Grade on COVID-19 Response, Arizona Ranks Last

Thumbtack, the app that helps local professionals and customers find each other, today announced results from its 2020 Small Business Friendliness Survey. In its 9th year, this survey represents the largest continuous study in the U.S. of small business perceptions on government policy.

Last month, more than 2,400 small business owners nationwide evaluated federal, state, and local government responses to COVID-19. In this year’s rankings, 45 states and the District of Columbia received grades from “A+” to “F” on their response to the pandemic

Overwhelmingly, local and state governments received higher marks than the federal government across three measures: overall response to the pandemic, support of small businesses, and actions taken to protect public health.

State rankings varied widely across the country with six states receiving grades in the “A” range and nine states receiving grades in the “F” range. In overall response to COVID-19, Vermont received the highest score with an “A+” while Arizona received the lowest score with an “F.”

Recognizing the importance of fighting the spread of COVID-19 to protect their communities and the long-term health of the economy, business owners expressed concern about efforts to re-open too quickly with 43% of small businesses sharing they felt that stay at home orders were not in place long enough, while 29% felt they were in place the right amount of time, and only 22% felt they were in place too long.

“Small business owners recognize that the economy cannot fully recover until the public health crisis is addressed,” said Nate Chai, Director of Pro Engagement at Thumbtack. “As we emerge from this global pandemic, it’s crucial that small businesses are at the center of our recovery efforts.”

Compared to the same time frame last year, 65% of surveyed businesses said their revenue declined from March 2020 through June 2020. Small businesses nationwide also shared which government actions they thought would be most helpful to their recovery:

• 26% more stimulus checks so customers have money to hire
• 20% tax breaks or deferrals for small businesses
• 18% better public health guidance on COVID-19 risks
• 18% getting people back to work

For complete results and additional findings, please visit our blog.

2020 Small Business Friendliness Survey Methodology

Between July 1, 2020 and July 17, 2020, Thumbtack surveyed more than 2,400 small business owners from across the U.S. operating across over 130 occupations including plumbers, landscapers, photographers and tutors. The survey asked these entrepreneurs about the actions of the federal government as well as their states and localities to respond to the COVID-19 pandemic and to support small businesses. You can find the full methodology here.

Thumbtack is a local services marketplace helping customers find and hire skilled professionals. Our app intelligently matches customers to electricians, landscapers, photographers and more with the right expertise, availability, and pricing. Since 2008, Thumbtack has helped millions of Americans get more done and hundreds of thousands of service providers build sustainable businesses. Headquartered in San Francisco, Thumbtack has raised more than $400 million from Sequoia Capital, Baillie Gifford, Capital G, Javelin Venture Partners, and Tiger Global Management among others.