Act While You Still Have Options: Strategic Lessons for Small Business Success
Sep 12, 2025
By Sheila Dalton of SBTDC Chapel Hill
In my 16 years of running a deli, I lived through supply chain volatility that hit the food service industry hard—when meat prices jumped nearly 50% in just two months during COVID (1). But in my year and a half working with small businesses across North Carolina, I’ve witnessed nothing quite like what I’m seeing in our craft beer sector right now. Just this spring, four respected Triangle breweries faced financial restructuring or liquidation within weeks of each other.
What I’m learning from this challenge isn’t just about beer—it’s about the strategic decisions that separate businesses that survive from those that don’t.
The Reality Check
The numbers tell a sobering story. In April 2025 alone, four brewery bankruptcies hit in one month. Brueprint Brewing had $1.78 million in liabilities against just $107,000 in assets when it filed for Chapter 7 liquidation (2). Duck-Rabbit Craft Brewery saw a 26% revenue decline year-over-year before permanently closing its doors (3). Rising costs crushed margins across the board—aluminum prices jumped 17% this year (4), tariff impacts compounded the pressure, and SBA loan defaults emerged as a common thread running through multiple cases.
While these numbers come from breweries, I have seen similar patterns across retail, restaurants, and service businesses—companies that expanded at the wrong time, took on debt they couldn’t service, or failed to adapt quickly enough to changing economic realities.
But this story has another side, one that offers hope for small businesses willing to think differently.
Sean Wilson at Fullsteam Brewery made a radical strategic pivot that challenges conventional wisdom: he stopped brewing on-site entirely. “For 10-15 years, NC brewers needed to connect customers to the brewing process,” Wilson told me. “But customers get it now. To survive, we had to brew in Eastern NC where real estate is cheaper. We don’t have to play by the same rules.”
Wilson’s strategic insight runs deeper than cost-cutting. He partnered with breweries who had excess brewing capacity instead of investing in expensive new equipment. His upcoming American Tobacco Campus location will focus on customer experience rather than visible brewing operations.
The universal lessons here apply far beyond brewing. Every business should step back and assess their operations on a regular basis, but especially when things begin to seem tenuous. Ask yourself and your team questions like: Could you partner with existing capacity instead of building new infrastructure? Are you spending money on things customers no longer value? Are there tasks you’re doing in-house that could be outsourced more cost-effectively? Sometimes, success means acknowledging market shifts and embracing those changes in ways that also support a sustainable bottom line.
When facing financial pressure, you have three main strategies:
- Expense reduction: Identify variable costs you can cut immediately while preserving core operations
- Revenue optimization: Raise prices strategically or focus resources on your most profitable segments
- Debt restructuring: Contact lenders before you miss payments to discuss modified terms, payment deferrals, or interest rate adjustments
The key is acting while you still have leverage and options. As Wilson told me, “No laurels in this business—you cannot rest. As soon as you rest, you’re not going anywhere. Going from casual success to an institution takes work.”
The businesses that thrive aren’t necessarily the ones with the best initial plans—they’re the ones that stay curious, stay flexible, and stay ahead of change. Here at the SBTDC, our counselors provide confidential, no-cost sessions to help you develop contingency plans, assess your financial position, and identify strategic options while you’re still driving the conversation.
Don’t wait for market pressures to force your hand. The best time to plan your pivot is when you don’t need one yet.
A seasoned entrepreneur and systems thinker, Sheila Dalton brings 25+ years of hands-on experience in small business leadership—including 16 years as co-founder and owner of the beloved Neal’s Deli in Carrboro, NC.
She is also a certified nutrition coach, an avid trail runner, YA fiction fan, trained chef, and proud Carrboro local—living with her two kids, one cat, and a thriving circle of community.
Sources:
- The impact of the COVID-19 pandemic on food price indexes and data collection
- Another Cary brewery files for bankruptcy
- Award-winning craft brewery files for bankruptcy days after abrupt closure
- Tariffs threaten North Carolina’s craft beer scene
