Charlotte’s Resilience Amidst National Retail Shifts

Charlotte, North Carolina, February 18, 2026

As major retailers face significant challenges and bankruptcies nationwide, Charlotte’s economy shows remarkable resilience, driven by a vibrant small business community. Entrepreneurs in Charlotte express high confidence, with 98% reporting business success and 99% optimistic about the future. The city’s average annual revenue for small businesses has increased, highlighting a thriving local market that contrasts with national trends in retail decline. Charlotte’s supportive environment fosters innovation and growth, making it a beacon of economic vitality amid national retail restructuring.

Charlotte, North Carolina.

Charlotte’s Resilience Amidst National Retail Shifts

While major retailers like Saks Global Enterprises restructure nationwide, Charlotte’s entrepreneurial spirit and growing small business sector continue to drive local economic strength. The national retail landscape is currently undergoing significant transformation, with established brands facing evolving market dynamics. This shift underscores the importance of adaptable local economies and the determined spirit of entrepreneurs who cultivate growth and opportunity within their communities.

Across the nation, the retail sector has seen a wave of challenges, prompting many long-standing companies to re-evaluate their strategies and operational footprints. These broad trends highlight the crucial role of robust local markets in providing stability and fostering innovation during periods of national economic adjustment. For cities like Charlotte, this environment presents an opportunity to showcase the resilience and dynamic growth of its own business community.

The Evolving Retail Landscape: National Challenges

Saks Global Enterprises, a prominent luxury retailer, filed for Chapter 11 bankruptcy protection on January 14, 2026, in the U.S. Bankruptcy Court for the Southern District of Texas. This significant financial restructuring followed a liquidity crisis exacerbated by its $2.7 billion acquisition of Neiman Marcus in December 2024, which led to a substantial increase in the company’s debt burden. At the time of filing, Saks Global Enterprises reported between $1 billion and $10 billion in both assets and liabilities, employing approximately 14,610 full-time and 2,220 part-time individuals nationwide.

As part of its restructuring efforts, Saks Global Enterprises announced the closure of 14 standalone Fifth Avenue Club personal styling suites across the country. Notably, one of these personal styling suites is located in Charlotte, NC. Another affected suite is in Pittsburgh, PA. In addition to these styling suites, the company is closing eight Saks Fifth Avenue stores and one Neiman Marcus store nationwide. These store closures include locations in Philadelphia, PA; Columbus, OH; Phoenix, AZ; Boston (Neiman Marcus); Birmingham, AL; New Orleans, LA; East Rutherford, NJ; Tulsa, OK; and Richmond, VA. The affected stores are expected to remain operational until the end of April. Following these adjustments, Saks Global Enterprises will operate 25 Saks Fifth Avenue stores and 35 Neiman Marcus stores. The company also plans to wind down most of its Saks OFF 5TH stores, retaining only around 12 locations across six U.S. states, with these remaining outlets primarily serving to sell residual inventory. All five remaining Last Call stores are also slated for closure, as is its home site, Horchow.com.

This trend of major retail restructuring is not isolated. Other national retailers, such as JCPenney and Rite Aid, have also faced Chapter 11 bankruptcy filings and store closures in recent times. The broader picture shows that over 35 national retailers filed for bankruptcy protection in 2020, and in 2024 alone, more than 2,000 retail locations ceased operations nationwide, with predictions indicating up to 45,000 closures by the decade’s end. In a related development in Pennsylvania, a major retailer announced the closure of a distribution center, impacting 155 jobs. These national shifts illustrate the ongoing challenges facing large-scale retail.

Charlotte’s Counter-Narrative: A Hub of Entrepreneurial Vigor

While national retail giants navigate complex financial waters, Charlotte’s local economy presents a compelling counter-narrative of growth and optimism. Owners of Charlotte small business operations demonstrate significantly higher confidence compared to their national peers. A substantial 98% of Charlotte business owners rate their enterprises as successful, which notably surpasses the 90% national average. Furthermore, an impressive 99% of these local entrepreneurs express optimism about the future, contrasting with 87% nationwide. This prevailing positive outlook highlights the robust and dynamic nature of Charlotte’s local commercial ecosystem.

The resilience of North Carolina entrepreneurs in the Charlotte region is also reflected in tangible economic indicators. Average annual revenues for small businesses in Mecklenburg County and surrounding areas have seen steady increases, rising from $1.49 million in 2021 to $2.43 million in 2023. Looking ahead, 85% of business owners anticipated a further rise in revenue in 2024, projecting an average growth of 7.65%. Moreover, 80% of these businesses planned to expand their teams through hiring in 2025. Such figures underscore the proactive and expansion-oriented mindset prevalent among local enterprises.

Driving Economic Growth Through Innovation

Charlotte continues to solidify its reputation as a burgeoning center for entrepreneurial innovation. The city boasts a thriving startup ecosystem, ranking 28th nationally in 2025. This environment fosters a fertile ground for new ventures, attracting significant private investment. Between 2019 and 2023, Charlotte NC business received $1.5 billion across 261 venture capital deals, a testament to the strong investor confidence in the region’s innovative potential.

The city’s economic strength is further diversified beyond its traditional financial services core, expanding into high-growth sectors such as healthcare, technology, and manufacturing. This diversification provides a stable foundation, mitigating risks associated with reliance on a single industry. In 2025, Charlotte experienced its most successful year for business recruitment in a decade, securing over $424 million in investment and generating 3,880 new jobs through 15 project announcements. These achievements highlight the city’s ability to attract and nurture businesses, promoting a vibrant and expanding job market.

Fostering a Supportive Business Environment

A crucial factor in Charlotte’s economic vitality is its commitment to creating a supportive environment for businesses. Resources such as the Small Business Development Center (SBDC) in Charlotte provide invaluable assistance, offering services like free business consulting, educational programs, and guidance on securing financing and navigating regulatory compliance. Furthermore, the Charlotte Small Business Ecosystem Assessment identified several key strengths, including the Corridors of Opportunity program and a robust network of organizations dedicated to supporting entrepreneurs. These initiatives are designed to help businesses not only survive but thrive.

For North Carolina entrepreneurs, the benefits of a streamlined regulatory landscape are significant. Limited Liability Companies (LLCs) have become a popular business structure in North Carolina, offering distinct advantages such as limited personal liability for owners, tax flexibility, and simplified compliance requirements. This framework allows business owners to protect personal assets from business debts and lawsuits, and to choose tax structures that benefit their enterprise, ultimately fostering a more secure and agile environment for growth and personal achievement. By reducing bureaucratic hurdles, the state encourages more individuals to take the leap into entrepreneurship, directly contributing to regional economic health and promoting Midlands economic growth.

Conclusion

The national retail sector is undoubtedly undergoing a period of profound change, characterized by significant bankruptcies and strategic closures among major brands. However, Charlotte stands out as a beacon of economic resilience and entrepreneurial spirit. The city’s proactive approach to fostering a supportive business environment, coupled with the innovation and optimism of its Charlotte small business community, positions it strongly against national economic headwinds. By championing local entrepreneurs, encouraging private investment, and maintaining policies that support business formation, Charlotte continues to cultivate a dynamic and thriving economy. Supporting local ventures and staying engaged in the city’s economic future are vital steps to ensure this trajectory of growth and prosperity endures for all. The spirit of self-reliance and inventive solutions demonstrated by North Carolina entrepreneurs is a powerful asset in an ever-changing economic landscape.

Frequently Asked Questions (FAQ)

1. What is the current situation with Saks Global Enterprises?

   Saks Global Enterprises filed for Chapter 11 bankruptcy protection on January 14, 2026, in the U.S. Bankruptcy Court for the Southern District of Texas. This was due to a liquidity crisis following its $2.7 billion acquisition of Neiman Marcus in December 2024.

2. Are any Saks Global Enterprises locations closing in Charlotte, NC?

   Yes, Saks Global Enterprises announced the closure of one of its 14 standalone Fifth Avenue Club personal styling suites located in Charlotte, NC.

3. How many stores and styling suites is Saks Global Enterprises closing nationwide?

   Saks Global Enterprises is closing 14 standalone Fifth Avenue Club personal styling suites nationwide. Additionally, the company is closing 8 Saks Fifth Avenue stores and 1 Neiman Marcus store nationwide. Most Saks OFF 5TH stores and all five remaining Last Call stores are also set to close.

4. How is Charlotte’s small business community performing amidst national retail challenges?

   Charlotte’s small business community shows strong performance, with 98% of owners rating their businesses as successful, exceeding the 90% national average. 99% of Charlotte entrepreneurs are optimistic about the future, compared to 87% nationwide. The city also saw average annual revenues for local small businesses increase from $1.49 million in 2021 to $2.43 million in 2023 in Mecklenburg County and surrounding areas.

5. What resources are available for small businesses in Charlotte, NC?

   Resources for small businesses in Charlotte include the Small Business Development Center (SBDC), which offers free business consulting, educational programs, and assistance with financing and compliance. The Charlotte Small Business Ecosystem Assessment also highlights programs like the Corridors of Opportunity and a strong network of support organizations.

Key Features of National Retail Shifts and Charlotte’s Economic Response

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Author: HERE Charlotte

The CHARLOTTE STAFF WRITER represents the experienced team at HERECharlotte.com, your go-to source for actionable local news and information in Charlotte, Mecklenburg County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Lovin' Life Music Festival, Charlotte Pride festival, and major sporting tournaments at Bank of America Stadium. Our coverage extends to key organizations like the Charlotte Regional Business Alliance and Foundation for the Carolinas, plus leading businesses in finance and entertainment that power the local economy such as Bank of America and NASCAR. As part of the broader HERE network, including HEREAsheville.com, HEREGreensboro.com, HERERaleigh.com, and HEREOBX.com, we provide comprehensive, credible insights into North Carolina's dynamic landscape.