Small business owners have been speaking out about high rents, unpredictable spending, taxes and the emotional toll of keeping afloat in a fragile island economy.
For many, rent is one of the heaviest burdens. Vendors say businesses do not necessarily fail because of poor products, but because overhead costs are too high before a single sale is made.
Commercial rent can be 2 to 5 times higher than residential rent, and landlords often require a 2- to 3-month deposit, plus the first month’s rent upfront. Rent must still be paid during slow periods, such as immediately after Christmas or during the rainy season, and small tenants have little protection from sudden increases.
“The group of artisans I sell with, we cannot afford to rent because it is too costly when we are not sure when our next pop-up will be,” one vendor told St. Lucia Times.
She said that two members of their group attempted to secure space at The Anchorage in Castries but were forced to give it up “ because there are days that they did not make one dollar, especially when it’s not cruise ship season.”
As a result, many rely heavily on digital platforms and events to survive. “That’s why we use social media to advertise our products and attract orders. We take part in all the events from CDF, Export Saint Lucia and Ministry of Commerce,” she added.
High rent often leads to difficult decisions: raising prices, avoiding hiring staff or operating from home, which can reduce visibility and walk-in traffic.
Vendors say that, contrary to common perception, small businesses pay a range of taxes and fees. These include business registration and renewal, trade licences, Inland Revenue filings, VAT (where applicable), National Insurance contributions, import duties, customs service charges and environmental levies.
A key frustration is that compliance costs continue even when income is low. Filing requirements and penalties remain in place regardless of whether the business has turned a profit.
The vendor highlighted the strain imports place on creatives. “Taxes are high when we bring in raw material for our businesses,” she said, explaining that most materials are not available locally. “St. Lucia doesn’t have 98% of the material creatives need to complete their pieces, so we must import.”
She suggested that some form of state support could ease the burden, adding, “It will be nice if we can get government concessions to help us with this when we have to face Customs and Excise.”
Importation presents another significant hurdle, particularly for craft makers, boutiques and beauty suppliers. In small island economies, almost everything – yarn, beads, tools, packaging and equipment must be sourced overseas.
Beyond the cost of the item itself, vendors must absorb shipping fees, customs duties, service charges, brokerage fees, port handling costs and storage charges if goods are not cleared promptly. In some cases, these fees exceed the value of the imported goods.
The impact is visible at the point of sale. Prices can appear high to customers, profit margins can shrink, and restocking can become risky. Vendors also struggle to compete with large online retailers offering lower prices due to bulk purchasing and global supply chains.
While some small businesses report issues such as shoplifting, break-ins and fraudulent transactions, not all vendors experience the same level of concern.
However, small operators generally remain vulnerable because many cannot afford security systems or guards and often work alone. A single theft can wipe out weeks of profit, forcing owners to invest in cameras, gates or stricter delivery policies.
Vendors describe customer spending as one of the most misunderstood challenges. Although many people express a desire to support local businesses, high living costs, rising utilities and stagnant wages affect purchasing power.
It was noted that demand can be seasonal and event-driven. “Saint Lucians like to look and feel good so they purchase from us,” she said, adding that spending increases during key celebrations like Independence and Jounen Kweyol.
“The tourist at the hotel also makes souvenir purchases because the stuff the artisan sells is different from what the buy and sell vendors have,” she explained.
Outside of these peak periods, income can be inconsistent. Vendors may experience weeks without sales followed by short bursts of high demand, making budgeting and planning extremely difficult.
Several vendors described cash flow as the hidden risk. Rent and bills are due monthly, and materials must be purchased in advance, yet sales occur irregularly. As a result, some owners rely on personal savings, income from other employment or delay restocking inventory.
Beyond the financial strain lies the personal toll. Small business owners often work after regular hours, manage marketing, accounting, and production themselves, and face criticism about pricing.
For many vendors, the challenge is not a lack of passion or demand, but navigating an environment where costs are constant and revenue is uncertain.
