Small Business Survival By: Megan Kirk Small businesses have been faced with an uphill battle since the start of the pandemic. Many have not recovered, but there are some that managed to keep their doors open with the support of the community. Now, as many small businesses look to rebuild, they are hoping to leave the dark days of the pandemic behind them and focus on brighter days ahead. According to the State of Michigan, there are more than 900,000 small businesses across the state and are responsible for the employment of close to two million Michiganders. Since the start of the pandemic, experts estimate multi-million-dollar losses in revenue for small businesses. Despite the grim numbers, small businesses that were able to survive the clutches of the pandemic are cautiously optimistic about what lies ahead. Local businesses have received support from the community and it has made the difference in helping to keep doors open. Although many of the surviving businesses faced tough economic hardships, it also helped to create a new lane of creativity for small business owners. Developing ways to remain motivated, entrepreneurs began innovative initiatives to keep customers and employees engaged. “We were able to survive through the pandemic but it was hard. We dropped down to appointments only and based our business solely on referrals. We had to offer contests and incentives to pull customers in so that they could patronize our business,” said Crystal Mitchell, CEO of Sitting Pretty Spa. Aside from economic struggles, small businesses were gravely impacted by the high rate of COVID transmissions. As employees began to contract the virus, small businesses lost key manpower needed to keep companies afloat. With a low number of workers due to various factors including home life, caregiving and virtual school, businesses found staffing issues to be one of the main hardships faced during the crisis. Despite mask mandates and new COVID protocols, many small business owners found themselves without employees. “Some of the challenges we faced were [that] a lot of my employees were getting sick although we enforced a strict mask policy -- somehow, they would still get sick,” said Mitchell. “So, one week five were sick and quarantined and then the next week the other five. It was hard to stay fully staffed and a lot of people were afraid to come in even with masks.” As small businesses saw a record number of closures and faced mounting economic pressures, communities rallied behind their local businesses in an effort to keep them alive. Organizations also stepped in to provide much needed economic support to small businesses that found themselves unable to afford to pay their employees, purchase business essentials or pay costs associated with storefronts. The Michigan Small Business Relief Program provided more than 2,500 businesses
a total of $20 million dollars in low-interest loans and grants to help with the bailout. As federal funding began to hit states, local municipalities were able to step in to help fill the gaps. “The community of Southfield has patronized my business and has referred family and friends. I was also granted a $5000 grant through Oakland County that helped tremendously with keeping our doors open,” said Mitchell. More than two years into the pandemic and small businesses are just now beginning to recover. While some have been forced to close their doors for good, small business owners who managed to retain their business during the pandemic are hopeful. Funds are still available for small business owners who may need additional help in continuing to rebuild. Through grants, loans and crowdsourcing, funding for small businesses may be available. Though scarce, business owners are
being encouraged to find programs that will provide economic support. All is not lost as recent reports show small businesses are once again on the rise in Michigan proving the true grit and willpower to make and keep local businesses as the cornerstone of the community. “Small businesses form the backbone of Michigan’s economy and are the anchors of communities across the state. Through tough times, they’ve shown grit and innovation to continue getting things done for their customers and employees,” said Governor Gretchen Whitmer in a press statement. “Recent data shows that entrepreneurs are fired up, starting tens of thousands of businesses and creating nearly 170,000 jobs. While the numbers are encouraging, we must build on this momentum by making investments to retain and recruit more workers, expand operations and attract additional investment. Together, let’s keep getting things done for Michigan’s booming small business community.” May 2022 | Small Business Toolkit | Michigan Chronicle 15