It’s been nearly six months since COVID-19 arrived in the Triad.
The day-to-day, if not hour-to-hour, uncertainty of the pandemic continues to shadow all aspects of our lives, refusing to allow us to settle into some form of new normal.
Hopes that a socioeconomic shutdown would last just weeks were dashed by the stark reality of the continuous need for mask wearing, placing cotton swabs up noses, furloughing of employees and lost livelihoods years, if not decades, in the making.
We’re still waiting anxiously for realistic news that the pandemic has finally hit a bottom, that we can return to our lives with confidence that things are getting better.
Yet, none of us still have a real clue to how long will be long enough to live with restrictions on our everyday lives.
As we all continue to adjust and sacrifice and cope, some local small-business owners reflected over the COVID-19 era so far, lessons they have learned, common denominators they have shared, and hopes for the future.
The arrival of the pandemic could not have been much worse for Dee Duggan, the franchisee owner of a new-to-the-Triad fitness group F45 Training.
In January, Duggan opened the fitness center at 486 N. Patterson Ave. in downtown Winston-Salem at the Bailey Power Plant complex. The Greensboro facility, which was set to open last spring, has been put on the back burner because of the pandemic.
The group’s marketing states that the F stands for “functional training, a mix of circuit and high-intensity interval training (known as HIIT) geared toward everyday movement,” while the 45 is the number of minutes allotted to most workouts.
“We didn’t have much time to establish ourselves before COVID arrived,” Duggan said. “Still, it turns out it was a bonus that we did open before COVID because we built up about 130 members, not just from downtown, but also from Greensboro and High Point.”
Duggan said it didn’t take her long to determine the way to survive was “being able to react on a moment’s notice within the confines of what we’re allowed to do, and just have a positive attitude to share.”
That meant offering virtual classes for members for the first two months of the Phase One reopening. Duggan successfully applied for a federal Paycheck Protection Program loan to pay staff and her lease.
When Phase Two started May 22, F45 began offering outdoor classes to not only members, but free to the general public in what she termed “community classes for the masses.”
Duggan, who has a background in mental health counseling, knew offering free classes was not only a way to attract new customers, but also provide an outlet “from all the anxiety and stress and uncertainty everyone is feeling.”
“We have had people from all walks of life showing up, from those who have never worked out before to gym rats to people craving socialization even with all the social distancing restrictions,” Duggan said. “Having gone through a series of injuries myself, I understood the value of offering something for every physical need that we could.”
Duggan said she has struggled at times with Gov. Roy Cooper’s reasoning for keeping the Phase Two restrictions in place from May 22 until Friday.
The restrictions prohibited indoor fitness activities with the goal of limiting community spread of the virus. Fitness centers are now allowed to have 30% capacity indoors, which Duggan and F45 quickly put to use within 30 minutes of the 5 p.m. Friday easing of restrictions.
“As a boutique operation, I didn’t think the governor should have applied a one-size-fits-all approach to all fitness groups,” Duggan said. “I believe we can provide enhanced safety public-health controls as well, if not better, than the YMCA or Planet Fitness.
“At 30% capacity, it’s a step in the right direction because we can bring in some more revenue, but it’s still not enough to pay all of our bills.”
Duggan said the pandemic has tested her resilience in what has been nearly six months of uncertainty.
“As much as COVID has been an utter mess, being in this situation has taught me how to persevere, to find ways to become a better person, better businesswoman, and how to fight for what I believe in,” she said.
Foothills Brewing was preparing to be in a celebratory mood when the brunt of the pandemic arrived.
March 17 was the Winston-Salem company’s 15th anniversary, yet the state government-ordered shutdown of indoor restaurant and alcoholic services that went into effect that day made for a most bittersweet scenario, said Jamie Bartholomaus, Foothills’ co-owner and president.
“We were instead forced to lay off about 70% of our staff,” Bartholomaus said. “It was the hardest and saddest day of our 15 years in business.”
After more than two months of economic limbo, the Phase One reopening that allowed for limited indoor and outdoor dining enabled Foothills to bring back many of its former retail employees.
Bartholomaus said Foothills ramped up its packaging and distribution offerings to grocery, restaurants and convenience stores through wholesale partner I.H. Caffey and other wholesalers.
Yet, on-premises sales were cut by more than half compared with 2019 because of the indoor capacity restrictions.
Bartholomaus said he knows Foothills’ business and revenue will pick up only so much with the easing of dining restrictions in Phase 2.5 that began Friday.
“We will reopen our coffee shop and event space, Footnote, on Tuesday, with plans to be open seven days a week and offer to-go food service,” Bartholomaus said.
Footnote’s event space will be available for gatherings of up to 25 people indoors and up to 50 people outdoors in the adjoining breezeway.
Bartholomaus said he has been encouraged by the stability in the local economy, but recognizes consumer trends have changed on how they consume food and alcoholic beverages.
“We see potential for waves of restaurant closures as the weather changes and less outside dining is available,” Bartholomaus said. “That may restrict our growth back to previous levels on-premise.”
Bartholomaus projects the ripple effects from the pandemic could linger several years if/when there is a slowdown in cases and a vaccine is available.
“We believe the shutdown has been sufficiently lengthy as to drastically change behavioral habits, from going out to staying home for entertainment and meals,” Bartholomaus said.
“This means we will probably sell more packaged beer and less draft, which reduces profitability.
“We’re planning to automate or streamline some packaging operations to improve efficiencies and combat lower margins on packaged beers.”
Christy Cox Spencer said that after nearly 40 years in the business world, she thought she had learned enough economic and life lessons from recessions in the 1980s, 1990s, 2000s and 2010s to navigate through most choppy times.
Spencer is president of JKS Inc., which recently moved back to downtown Winston-Salem in May after 13 years in Welcome. The company specializes in the creation, design, printing, fabrication and logistics and management of live spectator events, most notably with NASCAR.
The pandemic, however, has proven to be a beast unlike anything else.
“In most down times, you can study the key economic indicators to get a sense of when things are beginning to turn around, and business should be ready to pick back up,” Spencer said.
“This pandemic is different. The uncertainty and unpredictability defy forecasting and predicting.”
The cancellation of live events, to adhere to social gathering restrictions, eliminated about 80% of the company’s projected revenue for 2020.
“We had a great year planned, with great events and projects lined up, and then, poof, they were canceled,” Spencer said.
Spencer said JKS adapted by recognizing it could play an immediate role in shifting production toward providing current and new customers with vinyl products to serve as sneeze guards, floor and store signage for maintaining six feet of distance, customized hand sanitizer dispensers and other protective devices.
“We were trying to be as innovative and clever as we could be,” Spencer said.
Yet, even as JKS diversified its production mix, it still had to let go of 13 of its 30 employees, mostly in production.
As states have eased on their reopening restrictions, JKS has regained business from several customers, allowing it to rehire some workers.
“Every week, we have think-tank meetings to make the most of where we’re at right now,” Spencer said. “The companies that are marketing are wanting to stand out as much as possible because it may be one of their only ways of reaching fans at home, or the few that are allowed to be in the stands.”
Still, Spencer said, it’s more prudent to put the company’s focus on its 2021 plans even as it serves customers’ immediately and short-term orders.
“The challenge will be to provide social marketing activities that will be engaging while also meeting whatever safety guidelines that are in place at that time,” Spencer said.
The timing of the pandemic could not have been much worse for Christopher’s Formal Wear of Winston-Salem.
The make-or-break period of prom season, high school and college graduations, June weddings — what store owner Haley Logan calls her “Christmas sales season” — became a series of postponed, then canceled events and squashed memories.
“Unfortunately, we will never make up that loss,” Logan said. “To all my brides and grooms that have had to postpone or cancel their weddings, my heart breaks for them.”
After surviving that rash of lost business, Logan said it’s sobering to consider the prospect of having the rites of next spring spoiled by the pandemic.
“There is still a lot of uncertainty,” Logan said. “Now, it’s all of my juniors, now seniors, wondering how this year is going to play out. Will they be able to play sports? Will they have prom?
“We are usually gearing up for our school uniforms. We provide tuxedos for band and choir departments throughout the county. But that has all been canceled as well.”
Logan said the store has shifted toward production of uniforms and badges that include providing insignia for several dozen regional fire and police departments.
“Originally, the store was opened for tuxedos only,” Logan said. “The store has evolved over the years adapting to the needs of the time.”
Logan cited the symbiotic relationship shared with Thruway Shopping Center neighbor Hannoush Jewelers “to provide our services to both of our clientele.”
The Winston-Salem company specializes in custom designs, embroidery and screen printing for apparel, along with vehicle graphics, for groups marketing their business or community cause.
The company’s business dried up quickly in the initial two months of the pandemic as groups canceled fundraisers, sports and school events, and community gatherings.
Grubb said the company had to let go of nearly half of its 40-person workforce, mostly on the production side.
Grubb, like Spencer, recognized the regional shortage of personal protection equipment, so the company shifted production toward those types of products to serve hospitals, transportation groups and long-term care facilities.
Over time, as the company’s work with face masks and other PPE became known, customers began placing orders to have their logos on those goods. Production ramped up to tens of thousands of face masks a week.
“The key for us has been being able to pivot, pivot, pivot toward new opportunities as they arise,” Grubb said.
“PPE became a real source of production and revenue for us, and it was desperately needed to us to have survived,” Grubb said. “We will continue to produce those products for as long as there is a need.”
Grubb said the company’s printing business began to pick up in late July as states began reopening and “customers determined they needed our products to help them get the word out.”
“We’re now about back to full staff, and we feel fortunate that through this pandemic we were able to maintain and deepen key customer relationships.
Grubb remains wary of a potential second wave of COVID, particularly tied in with the upcoming flu season, in terms of potentially contracting customer orders again.
“You’ve got to remain fluid in business in general, and this pandemic is just placing so much importance on remaining realistic on what is possible, what customers can and can’t do in terms of buying patterns,” Grubb said.
“At the end of the day, we have to find ways to move our business forward prudently and wisely no matter what COVID continues to bring.”