Editor:
I appreciate what our politicians are doing in Ottawa. I know they are getting some input from some business owners, but I would like to add some concerns that I and business owners I am in contact with have.
I recognize and appreciate all the intentions that the government has, but like many of my business colleagues, I have to tell you that help hasn’t arrived.
I have not being able to access CEBA funds. To be fair, that has to do more with my financial institution. It appears that not all credit unions were set up for this, and mine wasn’t fast enough to react and set up the program. Is there anything more the government can do to help the financial institutions that are not yet up to speed?
The $27-billion stimulus program hasn’t been as accessible as we were led to believe. Six weeks later, I am still waiting to see if we will have access to any of those funds.
Many of our businesses will not be rescuable when the news comes. That is how tenuous some small businesses are.
Concerning the wage subsidy plan that will open on April 27; with no money coming in, how are businesses supposed to pay that salary not knowing when or if we will get reimbursed? This is an issue many of us struggle to solve.
Our big concern is paying rent. We have been closed since mid-March. We closed to be socially responsible.
Rent is due on May 1. Being that most restaurants manage month to month, there is no money available to pay the May rent.
I understand that we can't expect the new program to be operational until mid-May. This program will only work if the mortgaged property owner agrees to reduce the eligible small business tenant's rent by at least 75% for the three corresponding months under a rent forgiveness agreement, which will include a pledge not to evict the tenant while the agreement is in place.
Lots of landlords will choose not participate in this program and offer a 25% discount to their tenants. We have to remember that some landlords collect rent that barely even covers their property's monthly expense. I am sure they are also having financial difficulties.
On the other hand, you will have the landlords that will choose not to participate nor offer any kind of break for the business. Struggling businesses need a non-repayable rent subsidy, not loans or deferral of rent payments.
Government should make the rent relief broadly applicable to all small- and medium-sized businesses, without imposing cumbersome eligibility criteria creating unreasonable obstacles.
I assume that one of the values that guides us is to find a way to make the sacrifices as equitable as possible given the dire circumstance. Deferring the rent makes the sacrifice for the small business financial, for the landlord it is a sacrifice of timing.
I urge the government to focus on measures that will create an environment that promotes enterprise and boosts the confidence of small businesses, so they can continue to be the backbone of long-term economic growth and prosperity.
Small businesses have a huge amount to offer. We are agile and create more jobs than any other kind of organisation. We all rely on small businesses in our daily lives, yet many of us may not realise that small businesses help to shape our local cities and regions and that Small businesses are the backbone of our communities.
Alejandro Diaz, owner of Amaranthus and el Santo, New Westminster
