Small business owners in Massachusetts are now in the fight of their lives, many forced to close their doors when Gov. Charlie Baker shut down all non-essential businesses in mid-March.
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Small business owners in Massachusetts are now in the fight of their lives, many forced to close their doors when Gov. Charlie Baker shut down all non-essential businesses in mid-March. Since then, many watched revenues diminish, saw bills pile up as cash on hand dwindled, and, painfully, had to let employees go because they could no longer afford payroll. It’s been absolutely devastating.
Against all odds, these entrepreneurs want to save their business, rehire workers, and help lead the economic recovery for the state by reopening. Small business owners are saying that path begins by ensuring their customers and employees are safe by implementing necessary health protocols. When asked by NFIB, 80% of small business owners said they can maintain social distancing, reduce store capacity, require face coverings and gloves, and properly sanitize common and retail spaces.
It seems a lifetime ago in February when Massachusetts’ unemployment rate was 2.8% and small business optimism was at an all-time high. The biggest problem small business owners faced then was finding qualified workers to fill positions. Like suddenly throwing a car into reverse, their futures went hurtling backward, and nearly 900,000 Massachusetts residents filed for unemployment over the last six weeks, due to the COVID-19 pandemic.
Initially, there was an enthusiasm newly approved federal loans might offer a lifeline to small businesses. But the disastrous rollout left many out of the process, and shamefully, a good portion of funds ended up going to large companies with cozy relationships with big banks. An NFIB survey in mid-April found roughly 80% of small businesses had yet to receive any funding from the federal loan programs. We hope the second round of loans ends up in the hands of those who need the money the most.
So due to a situation beyond their control, desperate, frustrated, and anxious, business owners are running out of time. If they don’t have cash left and didn’t get loans, it comes down to reopen or close for good. They accept Baker must prioritize public health when reopening, but many truly believe they can be a partner in doing that successfully, now.
Retailers say they can safely allow workers in the shop for curbside or in-store pick-ups, limiting capacity and maintaining distancing. As big-box stores remained open selling flowers, clothing, and books, small businesses selling the same products remained shuttered. If they can meet the health criteria, they should be able to open too. It seems there would be fewer people in a small shop than one might encounter in a large crowded store, which could mean less risk.
The state must consider opening outdoor businesses like golf courses and car washes to maintain adequate distancing. There are many small businesses with less than a handful of workers who do not conduct business in close proximity.
Massachusetts is ready to get residents off the unemployment rolls and back to work, and small businesses say they can do what it takes to make their workplaces safe. Moving in this direction would save businesses and jobs, as well as create a light at the end of the tunnel.
Christopher Carlozzi is the Massachusetts state director for the small business advocacy group NFIB.
