The Tribune

* Remaining firms 'battle tested' despite losses

* Consultant says one-third of jobs slashed

* COVID restrictions eased just in time

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

Some 90 percent of small business survivors plan to "stay in business" fully after the recent COVID-19 easing sparked more optimism among entrepreneurs, a sector consultant revealed yesterday.

Mark A. Turnquest, president of the 242 Small Business Association and Resource Centre that plans to formally launch in January, told Tribune Business the mood would have been much different if restrictions had persisted into December.

Describing his clients and other micro, small and medium-sized (MSME) survivors as "battle hardened", he said "everybody and their Ma" was seeking to access the $5,000 grant funding being made available through the Small Business Development Centre (SBDC).

Revealing that he had completed 40 such applications on behalf of clients himself, Mr Turnquest said: "All the restructuring has taken place. They've laid off who they were supposed to lay-off and kept on who they wanted to keep on.

"They've moved full force. The majority of businesses kept on, on average, 65 percent of their staff. My small business clients are optimistic, surprisingly, and they are staying in business. At least 90 percent of them have indicated at this point in time they are willing to stay in business fully.

"They have already felt the pain, the losses, and have reduced their staff, streamlined their inventory, are looking at more value-added products for customers, and are developing good marketing machines. A lot of them have blended online and offline sales, and are taking money transfer payments, electronic wallet payments. They're in a better position to face next year."

With the timing and roll-out of any COVID-19 vaccine in The Bahamas "still a question in the air", Mr Turnquest predicted that this nation would not start to feel the full benefits until the 2021 third quarter.

"Hopefully everything is going to rev up, and then we will be in a good position," he added. "I was very concerned about the gym owners. All of them took over a $100,00 hit in lost revenue, rent and transfer costs.

"All of them are broke. If you don't have sales for nine months..... All of them took a hit that was out of this world. If you don't have sales for nine months, I don't care who you are, you will be broke. And when I say broke I mean that all your cash reserves have dried up.

"They would not have made it if the restrictions had remained in place for a month or two more. All of them did a little adjustment and adopted the online training approach, but they were only making a little money. If you have equipment in a building and inventory, it was rough. But the landlords did work with them."

Praising the Government for making the $5,000 grant funding available through the SBDC, Mr Turnquest said: "Everybody is now more battle tested. It ain't perfect but we've got to keep on moving. This is our life. There aren't any more government jobs out there.

"We're not going to get a vaccine until the 2021 third quarter. We're on the back burner. It's nine months at least. We're still living and being part of the game. It's rough, very rough."

Mr Turnquest added that the 242 Small Business Association and Resource Centre planned to officially launch in mid-January in a bid to help further drive small business development in The Bahamas.

He said the Association will feature 10 Board members with a seven-strong management team, adding that it already has some 120-125 members and will be embarking on a fresh recruitment drive once it is formally unveiled.