Because of ICE, South Central L.A.’s Small Businesses Are Struggling to Stay Open

By Karen Ramirez, Program Manager and Community Organizer

July 9, 2025

I walk through South Central L.A. two to three times a week, connecting with small businesses, some fighting to stay open, others already shuttered as commercial rents continue to rise. But since the immigration raids that began unfolding across Los Angeles on Friday, June 6, those walks have taken on a new, heartbreaking tone. The neighborhood feels like a ghost town. What was once a vibrant, bustling community is now gripped by fear, with many residents forced into hiding.

The area is home to a diverse array of small businesses, mini markets, thrift stores, barber shops, clothing boutiques, beauty salons, auto repair shops, restaurants, nutrition stores, bike shops, and tax preparation services. For residents without cars, these local businesses serve as critical access points for everyday essentials.

However, over the past three weeks, fear of ICE agents has paralyzed the community. Many of these small businesses have either reduced their hours or closed entirely. Business owners are reporting a steep drop in foot traffic, sales, and community presence. With rent due on July 1, many are now questioning whether they’ll be able to keep their doors open at all.

As Carlos Garcia, who owns a shop specializing in digital and graphic designs for advertising, told me: “Since the recent immigration raids began, my business has been severely impacted. Approximately 80% of my clients have either canceled or postponed their contracts. Many of them no longer feel secure making marketing investments during this time of uncertainty and fear. This has created a ripple effect when one small business is affected, others that depend on it are too. As a result, I’ve been unable to meet my rent obligations, pay utility bills, or stay current on payments to my lenders. The fear in our community is not just disrupting daily life, it’s destabilizing entire local economies made up of small businesses like mine that rely on community support.”

These are not just economic impacts, they are deeply human ones. Our neighborhood is suffering, and without urgent support and protections, we risk losing the cultural and economic lifeline of South Central L.A.’s small businesses. This reality stands in direct contradiction to the Trump Administration’s promise to “Make America Great Again,” as small businesses long hailed as the backbone of America’s economy are being punished instead of protected. The current approach is not growing the economy; it is dismantling it by driving out small businesses. In this crisis, only billionaire corporations are being positioned to survive the fallout of the immigration raids. Now more than ever, we need stronger local protections for small businesses if they are to survive the mounting threats against them.

To get involved with SAJE’s campaign to strengthen protections for commercial tenants, email info@saje.net.