Kansas City could see a wave of small business closures due to COVID. What can you do?
Many of your favorite mom-and-pop businesses across Kansas City are in serious danger of collapsing due to COVID-19 — and due in part to Washington, D.C.
You’ll need to go out of your way, safely, to help them survive renewed COVID-19 restrictions, especially during the normally bustling holidays.
“Most of these small businesses lack a deep well of resources to weather a further loss of revenue,” says Joe Reardon, president and CEO of the Greater Kansas City Chamber of Commerce. “Personally, I think we’re at risk of seeing a wave of closures across the region. This is a really critical time.”
The return of tougher restrictions on public gatherings, as well as consumers’ own prudence in avoiding the coronavirus, has made it incredibly tough for restaurants and retail stores to survive. As of mid-November, there were 30% fewer businesses open in Kansas than at the start of 2020, according to the Kansas Chamber.
The big difference now is that federal Paycheck Protection Program funds have run their course, and small businesses are largely fending for themselves.
Congress and the White House simply must put their differences aside and provide more emergency COVID-19 relief to small businesses. It appears such relief may pass soon as part of a larger government spending bill, but the delay has been unforgivable — and perhaps fatal for some business owners’ dreams.
“The impact of COVID, for an already fragile marketplace, has certainly been significant. A lot of concern moving forward,” says Dan Murray, Kansas director of the National Federation of Independent Business.
Of the businesses still operating, Murray says 1 in 5 predict they won’t be around in six months if nothing changes. And their failure is even more certain under another lockdown the likes of which is being implemented in some other areas of the country. Similar orders don’t appear imminent here, though some business owners are already straining under the restrictions in place.
There are things that businesses can do to increase their odds of surviving — most notably increasing their online presence and sales.
“The ones that are going to rely on their storefronts are going to be in tough shape,” Kansas Chamber President and CEO Alan Cobb says. “And it’s not all because of government. It’s because people don’t want to go into stores, and it’s so easy to shop online.”
“Increasingly, small businesses locally have focused on their capabilities to sell online,” Murray says. “And they have to, to survive. We’re living in an international marketplace.”
Curbside and delivery services have also helped restaurants and retail stores make it so far. “If you’re a taco shop that hasn’t adapted to carryout, you’re going out of business,” notes Cobb.
Any area business owner in need of help and referral — whether a member or not — can contact the Greater Kansas City Chamber of Commerce for assistance. The chamber has a help desk adept at finding federal, state, local and even private resources.
Most important is the consumer. You. If you want to see your favorite restaurants and stores into the new year, look for ways to do it safely. Check online. Call about curbside pickup or delivery. Or, if you feel secure in doing so, follow all the familiar health guidelines and shop in person.
“If you practice good hygiene and wear a mask,” Reardon says, “you can go out there and interact with retailers across Kansas City and support them at the time they really need it. This is the time.”