Pandemic Pushback
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FINAL-1 Sat, Jan 23, 2021 3:44:04 PM LEADERSHIP • INNOVATION • STRATEGIES WINTER 2021 Pandemic Pushback Drive toward economic recovery gains momentum ALSO INSIDE Local businesses turn attention toward mid-2021 rebound Tourism, cultural centers plan next act to woo visitors Banking, real estate sectors embrace new paths to success A quarterly publication of The Eagle-Tribune, The Salem News, The Daily News of Newburyport and the Gloucester Daily Times FINAL-1 Sat, Jan 23, 2021 5:24:57 PM S2 • Wednesday, January 27, 2021 27, January • Wednesday, BUSINESS NORTH OF BOSTON TODAY: FAMILY HEALTH IS PRIORITY #1 North of Boston Media Group • Group Media of Boston North Torkom A. Garabedian, MD CHOOSE A PRIMARY CARE DOCTOR, TODAY. Primary Care is a fi rst line of defense for you and your family. From knowing your numbers to general health and wellness, a primary care relationship helps keep your body safe, ready and strong. Together with our expert providers, we’re making it easier to take control of your health. PRIMARY CARE Visit LawrenceGeneral.org/PrimaryCare to connect to a growing list of primary care options in the Merrimack Valley. FINAL-1 Sat, Jan 23, 2021 5:24:58 PM S3 North of Boston Media Group • Group Media of Boston North 2021 goals: Reinvention, recovery and resurgence o one — person, busi- small business in hopes of ness or organization ensuring their viable future N— has been immune to and the vibrancy of their Small business: By the numbers the wrath of COVID-19. communities. Lives have been lost. Now 2021 arrives with hope Small businesses are the lifeblood Administration, since the COVID-19 in 2017, small banks devoted larger Initiatives have faltered. for reinvention, recovery and of local economies and serve various outbreak was declared a pandemic by shares of their assets to small busi- important functions, including employ- the World Health Organization in March ness loans, while large banks issued a And enterprise has stalled resurgence. ing hundreds of millions of people 2020, employment by small businesses higher total volume of small business and even halted. Economists suggest that, for across the globe. dropped by more than 17%. loans. But through the bleakness many, the road ahead will not The Small Business Administration ``The U.S. Bureau of Labor Statistics ``Various small business experts surrounding the pandemic have be a smooth one. says small businesses — which are notes that about two-thirds of busi- state that people between the ages of NORTH OF BOSTON been many examples of forti- But while most businesses defined as firms that have fewer than nesses survive two years, half of all 25 and 44 have the greatest tendency to tude and resilience. surveyed in JPMorgan Chase’s 500 employees — comprise 99.9% of all businesses will survive five years and form new businesses. In the business community, annual Business Leaders Out- businesses in the United States. one-third will survive 10 years. ``Even though the restaurant busi- we have encountered numerous look survey released in early A rundown of small business statis- ``The U.S. Chamber of Commerce ness is billed as the most difficult BUSINESS instances of companies retool- January cite continued eco- tics can show just how vital these com- advises 20% of small businesses will go industry to break into, the Chamber of ing in response to the corona- nomic uncertainty as their top panies are to the economy. under within a year of opening. Almost Commerce says only 17% of restau- virus and stepping forward to challenge, a majority — 77% ``The U.S. Chamber of Commerce half of businesses that did not survive rants actually close within a year of 2021 27, January • Wednesday, serve the common good. and 63% of midsize and small reports that between 2009 and 2016, into a second year indicated that a lack opening. In reality, the construction, We have witnessed owners businesses, respectively — roughly 400,000 new small businesses of funds resulted in their closures. warehouse and transportation indus- and workers across all indus- remain optimistic about their were opened each year. ``According to FDIC data obtained tries are much more challenging, with a tries employing inventive mea- own performance in the year ``According to the Small Business by the Small Business Administration, 75% failure rate in the first year. sures to stay afloat. ahead, even as they continue to We have watched neighbor- face the impacts of COVID-19. plan for continued economic models, distribution channels and offers optimism for recov- stronger and more committed ing enterprises reaching out to In a period filled with unpar- uncertainty, according to the and technologies,” says head ery in 2021.” to serving the local landscape. help one another in a collective alleled challenges, small and survey report. economist Jim Glassman of In this issue of North of Bos- quest to survive and prosper. midsize U.S. business leaders “Businesses have weathered the commercial banking arm of ton Business, we examine what SONYA VARTABEDIAN We have seen many more are showing strength and deter- many storms over the past year, JPMorgan Chase. the region’s business com- Managing editor of consumers coming to appreci- mination by remaining nimble, displaying impressive levels of “The challenges aren’t over, munity envisions for the year features and magazines ate the value of local com- accelerating digital adoption creativity and adaptability as but their tenacity has helped ahead as they look to emerge svartabedian@ merce and rallying to support and using lessons learned to they shifted to new operating sustain economic momentum from a life-altering pandemic northofboston.com Selling Your Northshore Home? Simplify the process, call Ron Supino SOLD SOLD SOLD SOLD SOLD Danvers, MA Danvers, MA Peabody, MA $1,100,000 $640,000 $683,500 SOLD SOLD FOR SALE SALE PENDING COMMERCIAL PROPERTY SOLDAmesbury, MA Salem,SOLD MA Salisbury,SOLD MA Groveland,SOLD MA SOLD $599,000 $629,000 $420,000 $675,000 Berkshire Hathaway$10 Million HS Commonwealth sold in the last • [email protected] 24 months • [email protected] BERKSHIREBERKSHIRE HATHAWAY HATHAWAY HS C•OMMONWEALTH Call Ron Supino • Direct • 978-590-1628 Call Ron Supino • Direct 978-590-1628 FINAL-1 Sat, Jan 23, 2021 5:25:00 PM S4 Cautious optimism Business leaders set hopes for improvement on second half of 2021 By Christian M. Wade doors,” he says. “They’ve been able second wave could sap some of the to bundle through it using PPP loans willingness of consumers and busi- [email protected] • Wednesday, January 27, 2021 27, January • Wednesday, and other things, but absent any more nesses to spend and invest,” Rosen- The coronavirus pandemic has help, they’re down for the count.” gren says. hammered businesses across a swath Joe Bevilacqua, president of the Aside from the financial impact BUSINESS of industries, with government shut- Merrimack Valley Chamber of Com- of the outbreak, business leaders are downs, ever-tightening restrictions merce, says many small businesses warning that a “perfect storm” of and other pressures on the bottom are unsettled by the uncertainty. higher labor costs that kicked in this NORTH OF BOSTON line. “They are very concerned about year could force some storefronts to While many are looking to the future potential shutdowns,” he says. go dark and slow the state’s economic new year with optimism — and “And there’s a climate of fear among recovery. see the first rounds of COVID-19 consumers who are afraid to venture On Jan. 1, the state’s minimum vaccinations as the beginning of out, which is impacting sales.” wage rose to $13.50 per hour. In addi- the end — the outlook for the first Like many economic observers, tion, a new paid leave law went into quarter of 2021 doesn’t show much Bevilacqua expects the first quarter to effect, and small businesses are fac- improvement. be difficult, but he says there’s opti- ing an average 8% increase in health Chris Geehern, vice president of mism for a rebound in the remainder insurance premiums. marketing at Associated Industries of of the year. Unemployment insurance rates Massachusetts, says recent surveys He says the pressures on small for employers are also expected to of business owners across a range of businesses are more acute in the skyrocket. Gov. Charlie Baker filed a industries suggest that many are still Merrimack Valley, which borders tax- proposal to freeze those rates for the Shutterstock in the “pessimistic range,” though free New Hampshire, a state that has next two years, but lawmakers failed North of Boston Media Group • Group Media of Boston North their attitudes have improved. resisted tougher limits on businesses several more months. economic restrictions,” Deloitte’s to approve it before the end of the last Overall, the outlook for the new despite a surge of infections and Nationally, Deloitte projects a chief global economist, Ira Kalish, legislative session. year depends on the industry, he says. hospitalizations. downturn in economic activity in the wrote in a recent blog post. Meanwhile, on Beacon Hill, law- “If you’re in manufacturing, tech- “People could just jump across the first quarter, but says two major fac- Eric Rosengren, president and makers are considering a “million- nology or biosciences, you probably border to go do their tax-free shop- tors will determine the path of the CEO of the Federal Reserve Bank aire’s tax” on top earners that could have a pretty bright outlook,” he says. ping,” he says. “So, consequently, economy — the status of the corona- of Boston, recently told a gathering also affect many companies, business “But if you’re in tourism or travel, or New Hampshire businesses are virus outbreak and the government’s of business leaders that he expects leaders say.