Growth & Jobs | Where is the reprieve for small businesses?

Business operators from the South St Catherine Chamber of Commerce (formerly Old Harbour Chamber of Commerce) are now squealing from the additional measures implemented by the Government in trying to control the rising number of confirmed COVID-19 cases.

Treacha Reid McCalla, president of the organisation, shared with The Gleaner that members were already facing serious financial challenges and uncertainties, and some businesses had to close their doors, while others have to engage in staff rotations on a week-on-week-off basis.

“Employers are really stressed right now. Some are not even sure how to prioritise their bills. I personally think that the smaller businesses are more impacted and there is no cushion for them due to the massive impact of COVID-19,” McCalla said.

CURFEWS

The next two weekend curfews are painting an even bleaker picture for the struggling businesses, and McCalla said the members will without doubt be suffering great loss in revenues as goods will remain on the shelves during the lockdown.

“That cannot be good, but all of us have to help to get our country back to normal and so I really think that small businesses should get some waivers and special rates to cushion their cash flow. For example, landlords need to cut the rent and have some mercy,” she said.

Considering that small businesses are engines of growth in the economy, McCalla said more emphasis should be placed on those crying out for help.

“While we are committed to help stop the spread of the pandemic, we are asking for some waivers for taxpayers. We know the Government doesn’t have any money, but we are still asking for support,” she said.

Speaking as the owner of Shade of Elegance Spa and Salon, McCalla said it is nerve-racking right now trying to cope, as the stress of not being able to meet monthly expenses and being in the red month after month is now taking its toll.

“COVID-19 has hit everyone. No fault can be laid at the feet of the Government or any member of society. We need the cooperation of everyone to curtail the spread of the virus, not just by observing the health guidelines, but also by extending a helping hand and courtesy, especially to small and medium-sized businesses,” McCalla said.

NO RELIEF

Pointing out that most businesses are reporting a fall in income with their commitments and expenses remaining the same, McCalla said that there has been no relief to assist with things like rent and utilities to compensate for the shortfall, leaving business owners with the headache of figuring out how to survive.

“We are just a few days away from the deadline to file taxes and some small businesses are reporting that they have already started to receive demand notices. Where is the reprieve from the tax collectors? What we should be getting are compassionate letters extending payment periods. Landlords are still demanding full and on-time payments, staff are still expecting full hours and salary. It is a struggle. Energy usage has gone up for some but no concessions from JPS (The Jamaica Public Service). Is this how we build back stronger?” she quizzed.

Although banks have given a few months moratorium on loans, McCalla said the interest on the loans are still adding up, seBeing some businesses losing their lines of credit or having their cards frozen, pointing a grim picture for small businesses.