Less than half of Prince George businesses that took part in a recent survey think they'll be able to maintain staffing levels, even with the 75 per cent wage subsidy offered by the federal government.
A total of 62 local business owners took part in the survey conducted by the Prince George Chamber of Commerce earlier this month. The survey asked business owners for feedback on the effectiveness of government efforts to support businesses through the COVID-19 pandemic.
"The results... will be used as benchmarking going forward, providing direct feedback to all levels of government on the services and programs they are offering business," chamber CEO Todd Corrigall said in an email. "We look forward to re-issuing a new survey later this week, which will revisit these questions and dive further into specific programs."
Of the businesses that took part in the survey, 54.84 per cent said they won't be able to maintain business staffing levels.
"The help out there is amazing, however, we don't qualify," one survey respondent wrote. "Our business did not pay enough in Payroll to qualify for funding. We do qualify for wage subsidy, but rent is due, and I have no resources. I am afraid to pay rent, and not have money to buy essentials moving forward if I can't go back to work soon."
Roughly two-thirds of the respondents were looking for additional funding sources to keep their businesses alive – 30.65 per cent were applying for government loans, 6.45 per cent were going to their traditional lenders, another 6.45 per cent were applying Community Futures loans and 22.58 per cent were looking at other sources of funding.
For those looking for additional funding, 7.14 per cent said they needed more than $100,000 to sustain their business, 17.86 per cent needed $61,000 to $100,000 to stay afloat, 12.5 per cent needed $41,000 to $60,000, 25 per cent needed $21,000 to $40,000 and 37.5 per cent needed $10,000 to $20,000.
"(All) the politicians talk about entrepreneurship and innovation, that small business is the
backbone of the economy, but it looks like the banks and the union workers will do fine, everyone else has to beg for their pudding!" one survey respondent wrote. "I will be declaring bankruptcy soon."
On the question of governments doing enough to support small business, 46.77 per cent said the federal government was doing enough, 38.71 per cent said the province was doing enough and 22.58 per cent said the City of Prince George was doing enough.
"I have yet to see anything from the city to support businesses," one survey respondent wrote.
The Prince George Chamber of Commerce survey received responses from 17 professional service businesses, 13 retail operations, three hotels and restaurants, one resource-sector business and 28 businesses in other sectors.
"We really need to start looking at the mental health affects this is having on business owners. They have put in many unpaid hours starting their business, and many were maxed
emotionally and financially prior to this," one respondent wrote. "The threat they are
feeling is having an impact. I would like to see the Province look at providing funding to business resource organizations to assist with developing and delivering support."
Survey information released by the B.C Chamber of Commerce on Tuesday showed 43 per cent of B.C. businesses that responded believed they could continue operating up to three months under the current restrictions. Of those businesses temporarily closed, only 53 per cent expected they'd be able to reopen once public health restrictions were eased – 38 per cent were unsure and eight per cent expected to not reopen.
The B.C. survey included 1,284 businesses of the B.C. Chamber of Commerce, Greater Vancouver Board of Trade, Business Council of British Columbia and other organizations.
Of the responding businesses, 54 per cent had seen their revenue decrease by 75 per cent or more and 66 per cent have seen revenue drop by 50 per cent or more.
“Government programs are helping businesses but more supports are still needed. Entrepreneurs are saying ‘there’s a survival runway here’ and ‘this is exactly what I need to get through this crisis,'" B.C. Chamber of Commerce president Val Litwin said in a statement. "How government listens and responds to the business community in the coming weeks will be the game-changer in terms of economic recovery.”
