Without an employer, there can be no employee.
As the COVID-19 pandemic grows deeper, record numbers of workers are seeking state and federal unemployment relief from the new roughly $2 trillion CARES package.
But business owners must find a way to stay afloat through the crisis, or workers will have no jobs when the air finally clears.
The CARES Act contains $377 billion dollars earmarked for small businesses. There is $350 billion allocated to the Small Business Administration for loans of up to $10 million per business. Any part of that loan used to maintain payroll, keep workers on the books or pay rent, mortgage or existing debt could be forgiven if workers stay employed through June.
The package also provides $10 billion in emergency funds to small businesses to cover immediate operating costs. The grants do not have to be repaid.
Small businesses that already have existing SBA loans will receive funds to cover six months of payments.
Local businesses on different paths
When Gov. Ron DeSantis issued the order limiting Florida commerce to “essential services” beginning April 3, more local businesses were forced to shutter.
However, the “essential” list is lengthy — the list can be viewed at cisa.gov. — and people are allowed health care visits, grocery shopping, outdoor recreational activities and exercise that practice social distancing, caring for a loved one, friend or pet, picking up food orders and attending religious services, among others.
Also, April 3, Manatee County commissioners voted 5-2 to pass a curfew order, adding another layer to the shelter-at-home edict from the governor.
The curfew runs 11 p.m.-5 a.m., but pet walking and in-home gatherings are exempt. Gatherings outside of a home are not exempt. Commissioners will revisit the curfew every seven days.
Some business continues
While retail shops, boutiques, hair and nail salons closed, many eateries on the island continued to offer takeout and delivery as of April 6.
Linda Kissell at Harry’s Grill and Bistro, 9903 Gulf Drive, Anna Maria, said April 3 the restaurant would continue to offer carryout and delivery “as long as we can.”
‘We are trying to bless the community with our food” with a limited staff, she said.
David Sork at the Ugly Grouper, 5704 Marina Drive, Holmes Beach, left work to stay at home earlier in March when the COVID-19 was worsening.
“I’m on cancer treatments and I’m over 60. I pulled the plug two weeks ago. It was time for me to get home and stay there,” Sork said.
The Ugly Grouper remained open until March 31, when it posted it would close until April 17, after which managers plan to reevaluate.
AMI chamber recommendations
Cathy Pizzo, vice president of the Anna Maria Island Chamber of Commerce, made three recommendations for small businesses navigating the confusing web of loans and grants due to COVID-19:
- The Small Business Paycheck Protection Program provides funds for up to eight weeks for payroll costs and benefits, as well funding for business mortgages, rent and utilities.
The loans are forgivable when used at least 75% for payroll. Loan payments on any balances will be deferred for six months and no personal or collateral guarantees are required. There are no initiation fees.
Forgiveness is based on maintaining or quickly rehiring employees and maintaining salary levels.
Businesses with 500 fewer employees and certain other industries are eligible. Business applications began April 3 and are available from SBA lenders. Check with your bank.
For more information, go to sba.gov or coronavirus.gov.
- Florida Small Business Emergency Bridge Loan is a short-term, interest-free working capital loan to “bridge” between catastrophe and when a business has secured longer term recovery resources. They must employ 2-100 workers and suffered economic injury due to COVID-19. floridadisasterloan.org.
- Federal Economic Injury Disaster Loan offers an immediate advance of $10,000 with no repayment to qualified applicants for loss of revenue and provides working capital loans of up to $2 million to overcome revenue loss. SBA.gov.
As the COVID-19 pandemic continues, businesses seek ways to hold on and emerge after the crisis.
For now, small businesses need to fill out applications as quickly as possible as some programs have a cap on available funds.
CALL AHEAD
Islander clients and chamber members offer takeout food and, in some cases, delivery, as of April 6:
- 421 Sweet Treats.
- Anna Maria General Store.
- Back Alley Treasures.
- Bridge Tender Inn.
- Cortez Cafe.
- Cortez Seafood Market.
- Cremesh European Restaurant
- Cupcake Delights.
- Danny’s Pizzeria.
- Domino’s Pizza.
- Enrich Bistro.
- Euphemia Haye.
- French Table Restaurant.
- Ginny’s & Jane E’s Bakery Cafe.
- Gulf Drive Cafe & Tiki.
- Harry’s Grill and Bistro.
- Holy Cow.
- Hometown Desserts.
- Hurricane Hank’s.
- Island Coffee Haus.
- Island Time Bar & Grill
- Isola Bella Italian Eatery.
- J Burns Pizza.
- Joey D’s Chicago Style Eatery & Pizzeria.
- Lazy Lobster of Longboat Key.
- Mar Vista Dockside Restaurant.
- Minnie’s Beach Cafe.
- Old Hamburg Schnitzelhaus
- Olympic Cafe.
- Oma’s Pizza & Italian Restaurant.
- Paradise Cafe, Bagels and Catering.
- Pier 22.
- Poppo’s Taqueria.
- Sandbar Restaurant.
- Scott’s Deli.
- Seafood Shack Marina Bar and Grill.
- Skinny’s Place.
- Smoqehouse.
- Solo’s Pizza.
- Swordfish Grill & Tiki Bar.
- The Donut Experiment.
- The Feast Restaurant.
- The Waffle Press.
- Two Scoops Ice Cream and Yogurt.
- Tortilla Bay Southwest Grille.
- Tyler’s Homemade Ice Cream.
- Vinny’s Italian Kitchen.