Oregon’s Small Businesses Face a New Bankruptcy Surge

The state has seen a sharp rise in company bankruptcies, climbing 25 % last year to the highest level since 2013. Nationwide, many people and firms are filing for bankruptcy, but Oregon’s rate is almost four times faster than the national average. High interest rates and inflation are squeezing consumers, while global political tensions add to the strain on businesses. In Oregon, layoffs have exceeded those of the Great Recession, with cuts at big names like Nike and Intel affecting smaller suppliers.Tax burdens on Oregon companies and the lingering impact of the pandemic in Portland add extra pressure. Even though the numbers are still below the peaks seen during the Great Recession, nearly 600 firms filed for bankruptcy in 2009 compared to about 250 this year. A January snapshot shows commercial bankruptcies up 76 % nationwide from a year earlier, hinting that the trend could continue. While one month doesn’t prove a lasting pattern, it is clear that businesses across the country are facing tough challenges.