Small business needs help weathering the coronavirus storm

Small businesses are the backbone and lifeblood of the American economy — and of our own community. We both thank you for your support and issue a public service announcement — 

“We need you to help us get through this time.”

Small businesses are the lifeblood of a community

Whether it’s your favorite restaurant, where they know you by name, or your neighborhood coffee shop where they know you by drink, or your favorite gym, spin class or Barre3, where they burn off those brisket and latte calories, or the local ice cream shop where your kids gather after a little league game, small businesses are the lifeblood of our communities.

Without vibrant small businesses, our unemployment rates would skyrocket and our economy would tank into recession.

Coronavirus fears and impact on small businesses

Over the last two weeks, through either/or government-forced shutdowns and individual fear, uncertainty and doubt, small businesses have already taken a huge hit. Through a random sampling of small businesses in Austin and Four Points, we’ve chronicled an average reduction in revenue of 67%. 

I guess people would rather buy toilet paper than support their favorite haunts. It’s already bad enough in Seattle that a survey reported that 60% of small businesses there are considering wage cuts and staffing cutbacks, while 35% said they may have to close. More than 80% expect the situation to get worse.

Wall Street has taken notice. The double-black diamond descent of the market is based not on the Fortune 500 missing their earnings estimates by a couple of pennies — it is based on the fear that many small businesses may not weather this COVID-19 storm. When small businesses fail, they default on loans (impacting banks), they cut employees (rise in unemployment), and they no longer deliver the value to a market that wanted, needed and benefited from them.

How to help your favorite small businesses survive the coronavirus

The CDC has outlined appropriate measures to protect yourself and your loved ones, which includes cleaning your hands often, avoiding close contact with those who are sick (i.e. within six feet of another), cleaning and disinfecting frequently touched surfaces, and staying home if you are sick.

These are serious recommendations not to be taken lightly, but this does not mean you have to completely abandon the small businesses you love.

CNN and Forbes have outlined the appropriate steps to take to help your favorite local businesses survive this coronavirus scare. Here are the things you should do.

Buy now to enjoy later

If the CDC recommends against going to one of your favorite businesses, consider purchasing a package of goods or services now that you can use later. Businesses survive on cash flow, so understand how this time of uncertainty translates to business viability in the future.

Buy gift cards

When you purchase gift cards, you provide the cash flow that small businesses need today, so you or your gift recipients can use their services in the future. Think of this as an investment in them and you!

Keep your gym memberships

So many of you have memberships at fitness gyms and athletic recovery centers, yoga studios, and various other small businesses. Do you realize that canceling or freezing your membership puts those businesses’ existence at risk? If you want all the businesses that keep you healthy and thriving to make it through this health scare, then please keep your membership paid up!

Shop local and online for pick-up and/or delivery

If you are concerned about exposure, consider shopping online. The risk of exposure is reduced tremendously when you pick-up your groceries or have items delivered to your door. And remember, places like H-E-B support our community — Amazon does not.

Tip generously

Service industry employees whose income is dependent on tips will experience significant hardship during this time. Restaurant and bar waitstaff, hair and nail salon employees, and many others will experience financial pain from social-distancing. Remember them by perhaps paying it forward!

All about relationship

We all have challenges during this time. Consider the challenges facing those on whom you rely to serve you food and drinks, to exercise you and help you recover, to make you beautiful (or in my case presentable), to stock the supplies and medicines you need for daily life. Send them some love and encouragement, either direct message/phone call, or socially through Instagram. Perhaps give them a review. Help spread the word about how they have helped you so others will discover them in the future.

Because small businesses are critical to the health of our economy and local communities, it is critical that you help your favorite small businesses survive this coronavirus scare.

Todd Pendleton has lived in Steiner Ranch since 2001 and opened Champion Performance & Recovery in 2016 near Austin Regional Clinic on Wilson Parke Avenue. Pendleton is well versed in small business and much more. He ran a sales organization at Dell Inc. from 1992-2001; started a Christian father/son ministry called Trinity Outfitters from 2004-2010; ran a financial and estate planning practice from 2007-2013; ran sales organizations for a SaaS company and for a tax planning firm before launching Champion.