Small businesses can’t be left behind

By Matt Birong, Chef/Owner, 3 Squares Cafe and State Representative
Vergennes, Vermont

We're in the midst of a public health crisis that is no fault of our own, and we've already spent too long waiting to act. If we are going to save our small business sector, our federal government needs to immediately authorize a direct cash infusion. If our federal government doesn't take action NOW, there will be no small, independent business on the other side of this crisis.

Small businesses are more than a backdrop to political campaigns -- they are the backbone of our local economies. And it's time for our nation's leaders to recognize that. Most small businesses, especially restaurants, operate on razor-thin bottom lines. The majority of us don't have the cash reserves or assets that exist at massive corporations. Tax cuts and cumbersome loan applications won't help us right now.

As a state legislator and small business owner, I need to be thorough and responsible to my constituents, and I also have to take care of my employees. I'm very fortunate to be in a stable financial position with low debt, but I know many of my fellow business owners are not.

My business, which is typically a sit-down restaurant that serves three meals a day, is on takeout only, with curbside delivery and reduced hours for staff. Despite the public health risk, many small businesses have tried to keep their doors open as long as they could because employees are our most valuable asset. In order for us to viably continue to do business, we also need to be able to pay our vendors, who are mostly local small businesses. We need them to survive if we're going to survive.

We need direct cash assistance from our government now, or our small business economy with suffer dramatically. Businesses will shutter, and the progress we've made to breathe life back into our downtowns will be completely lost.
 
The Vermont Legislature took swift and critical action to amend our Unemployment Insurance (UI) system and waive the impact of UI insurance rates on all businesses, but for small business especially it's not nearly enough. We're still working on other options, but our federal government needs to step up in a big way. Small businesses need assistance to meet their payroll and debt obligations. Canceling fees and offering tax breaks doesn't cut it.

With 25 years of experience in the industry, I know what will happen if the federal government doesn't act immediately. In 2008, the government bailed out the banking, auto and insurance industries, and they did so with our taxpayer dollars. Those businesses have flourished, and they are now financially robust enough to weather this crisis. It's our turn now.

If the federal government does not act immediately and infuse cash into our small business sector, we will lose the bedrock of our national identity.