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Stay Open Or Close? The Effects of the Coronavirus

Joe Marconi
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JimO Collaborator

JimO

Posted
Posted

My location is in Bergen County NJ about 25 minutes outside of NYC. Statistical reports released today show that NYC has the highest number of confirmed cases of Covid-19 in the USA. Our county has the highest number of confirmed cases in NJ. The severity of the situation in our area has prompted authorities to invoke travel curfews and close all non-essential businesses. Gas stations and vehicle repair are both considered essential services. Examples of non-essential services which are now closed are: malls, gyms, bars, barber shops, nail salons, clothing stores, movie theaters, wedding venues, department stores, gift stores, card stores, toy stores, furniture stores, shoe stores & most corporate offices. Pre-schools, public & private schools, colleges, churches, mosques, synagogues and public playgrounds are all closed. Eating in restaurants is not allowed but take out, curbside pick-up or delivery is allowed. The entire state and neighboring states are on a tight lockdown leaving most streets and highways quiet with little or no traffic. One of my techs is 67 and my brother/partner is 70. We decided it was best if they both stayed home because their age predisposes them to a possible worse outcome should they contract the virus. Both of these key people decided to stay home as bay work slowed down which worked out well. We have gas and repairs and our gas volume has dropped about 75%. I have several attendants that requested a leave of absence due to age, pre-existing medical conditions and also family pressure/fear. The loss of gas attendants came as gas volume eroded so that presented no problem. The closing of all non-essential businesses caused a self regulating slow down of both available business and available staff in a very timely manner. The authorities in our area are predicting that things will continue to get worse in the weeks ahead so I certainly could see the need to reduce hours or possibly close as less and less people venture outside their homes. I am having a meeting with my staff tomorrow and I will give them the opportunity to weigh in on matter. If my remaining staff members are willing to continue working and our customers continue to need us I plan to remain open. 

  • Like 2
Dr.Dave Enthusiast

Dr.Dave

Posted
Posted

I,m exactly not sure what to do. I have a small shop just getting by okley. Our town is mixed income but alot of lower income people , closing the resturants hit us hard ,alot of our customer are in the hospitality buisness or older, No one knows  heare in Maryland how long were going to be shut down or if its going to get wost. Thers only 3 of us .My son and another tech Ive known for 20 year or so , I have been thinking about telling the guys im laying them off so as to get unemployment while I wait to see what fedral and local goverment is going to do , I can keep working and my son can volenteer? Just to keep us open until aid happens , I'm only a week or so away from not making payroll. Any input good bad ?????? I'm feeling alone

JimO Collaborator

JimO

Posted
Posted

Road traffic is at an all time low as well as our gas volume. Two of my key full time gas attendants and one part time attendant told me today that they are unable to continue working because of health concerns. Totally understandable but my island staff has now been reduced from 10 employees last week to one full time and two part time employees as of today. Impossible to cover our normal gas island business hours from 6am-10pm so I needed to substantially reduce hours Monday thru Saturday and close completely on Sunday. Not my desire but I have no choice. Bays are very busy which is a bit strange considering what is going on around us.

Network Auto Body Newbie

Network Auto Body

Posted
Posted

Hi Joe!

Our Auto Body Shop in Valencia remains open as normal time (8-6 pm). We have less no. of workers due to Covid-19. And yeah it affects customers badly. We totally concern over social distancing and takes special care while working. We do have follow up customers via call when repair work is done. 

Our Shop Location:

Valencia - Network Auto Body INC

24854 Avenue Rockefeller
Valencia, CA, 91355

  • Like 1
alfredauto Experienced

alfredauto

Posted
Posted

During the 1918 Flu pandemic historians said it took people 3-4 years to get back to "normal". I am staying positive but I'm concerned.  I think if everyone goes back to work in a few months it will be a miracle. I'm thinking 12-18 months minimum. I'm hoping that there will be school in September but I'm not even too sure about that at this point. 

  • Like 2
juanpablo4219 Contributor

juanpablo4219

Posted
Posted

Good day..

I have submitted our application for the EIDL and for the PPP relief, thinking that this would help us...

Keep in mind, this process will take time but I am sure it is moving, any chance we have at it, it's better then nothing at all.

On the Payroll issue, our company does not have employees, we are independent contractors, so pay roll won't work for us, even though I record our pay checks, and at the end of the year we get a 1099.

...but any of these loans will certainly help for our fix expenses, rent, utilities and such.

In other words, we all qualify due to these Expenses. The PPP will help us to be and remain open until the new normal...

The sales that we might have until we get to the new normal, it will only help us just to get money to cover part of our fix expenses and take home.

Keep in mind, a lot of our customers, might be out of work.

This is my plan on the works,😁

Note: and here's my contributions to this commune and be known for, I learned this from my old Boss "Hope is not a Plan JP"

 

"HOPE IS NOT A PLAN"

 

  • Like 1
juanpablo4219 Contributor

juanpablo4219

Posted
Posted (edited)

"My banker just told me that 1099s don’t count because 1099’people are eligible to apply themselves. I had quite a bit of 1099 last year and it don’t count."

Exactly, I was never a Banker, but I am an accountant by profession and Business owner/Mechanic by trade.

therefore we should focus on how justify/paper trail to our expenses..

Tell your accountant to run your 2019 P&L and look at your expenses and go down the lines.. if u get the loan, that's whats going to cover along with payroll if any employees.

That will give you and idea. Also do the pay roll for those that are employees, just to get an idea and be familiar with what the banker is going to request.

if you keep receipts it's justifiable, Ex: lease agreement, utilities 

at the time, the Bankers are still getting familiar on the process itself.

I bank with Wells Fargo and my banker didn't know much. I knew more than him...

The process it's barely going to get in place/done by the government and then given to implement to the banks and then to us...

In my humble opinion, we might get the EIDL first than the PPP

We have to be Patience

 

JP

 


 

Edited by juanpablo4219
  • Like 2
Alex

Alex

Posted
Posted
On 4/5/2020 at 11:42 AM, JustTheBest said:

With all due respect, I think we'll be lucky if this only goes on for two more weeks. From what I'm hearing from various sources is that it could easily go on until the end of June.

We should hopefully see over the next 2-3 weeks if it peaks out or not. There needs to be a vaccine or "official" treatment for things to really calm down. 

  • Like 1

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  • Have you checked out Joe's Latest Blog?

    • Joe Marconi
      The Toolbox is Last to Leave, First is the Heart
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      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.

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