CHEEKTOWAGA, N.Y. (WKBW) — As we approach three years since the pandemic began, we're taking a look at how Western New York has rebounded. Some of your favorite businesses got a financial boost early on, but did that money set them up to survive COVID-19?
"2019, 2020 and 2021. They're just like the lost years," said David Swart, President of New Buffalo Shirt Factory in Cheektowaga.
Erie County's Back to Business Grant Program in partnership with 43 North used federal Cares Act funding to give businesses a boost. It prioritized businesses that did not receive other covid-related money and were forced to lay off staff members. Here's the breakdown of the demographics:
- 35% of the grants went to businesses that had lost more than half their revenue.
- 59% went to women-owned businesses.
- 30% of recipients were minority-owned
- 47% of grant recipients are located in distressed or highly-distressed zip codes
43% of small businesses closed at least temporarily during the pandemic, according to the National Academy of Sciences. Even with this funding, some local businesses couldn't survive.
That includes restaurants like Buffalo Roadhouse Grill in the Town of Tonawanda, whose facebook page reads "thank you but they just couldn't survive the shut downs."
On the plus side, it appears there are more open signs than closed in Erie County. There are more than 20,000 and 1,400 got grant money, an impact of 6.5%.
"The percentage impact of assistance is likely higher (closer to 8 – 10%), when you rule out the small businesses that were not in critical jeopardy of closing during the pandemic," said Economic specialist Zachary Evans with Erie County.
Over 30% of small businesses nationwide would not survive the pandemic without government assistance, according to the Federal Reserve. Evans says the county's grant program cut that number by a third.
"It certainly benefited our company, absolutely. I believe we would we still be here, but would we be as strong as we are today without that grant? I don't think so," said Swart.
And those Shop 716 cards given out around the holidays in the past few years? They generated more than $2 million for the more than 800 businesses who signed up, per Erie County. They're anticipating more positive data about our local business this year.
