Sunday, August 23, 2020

How a small-business software company became one of the most accurate forecasters of the pandemic recession

US recession bourbon streetJonathan Bachman/Reuters

  • Homebase, a software company that helps small businesses with scheduling, hiring, and more, made its data public in March after seeing the impact of the COVID-19 pandemic recession. 
  • A few months later — after nailing the monthly jobs report multiple times — it's one of the top high-frequency indicators that economists look to for forecasting the economic recovery.
  • The data thus far shows that employment growth stalled further in August, just a few weeks ahead of the monthly jobs report from the US government. 
  • Visit Business Insider's homepage for more stories.

In March, as the coronavirus pandemic hit and led to sweeping shelter-in-place orders across the US, Homebase made a discovery. 

The San Francisco-based software company — which helps small businesses with scheduling, hiring, and more — saw in its internal data that the lockdowns to contain COVID-19 were having a huge impact on its clients, leading to mass closures and slashing employee hours worked. 

See the rest of the story at Business Insider

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