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‘I Didn’t Want to Shut My Doors’: Businesses Find Ways to Survive ‘I Didn’t Want to Shut My Doors’: Businesses Find Ways to Survive
(3 days later)
Sitting back, glass of wine in hand, John Kapon, the bespectacled chairman of Acker Merrall & Condit, a 200-year-old shop for fine and rare wines, leads scores of wine lovers in twice-weekly tastings.Sitting back, glass of wine in hand, John Kapon, the bespectacled chairman of Acker Merrall & Condit, a 200-year-old shop for fine and rare wines, leads scores of wine lovers in twice-weekly tastings.
Taking social-distancing mandates to heart, Mr. Kapon conducts the tastings using the teleconferencing platform Zoom as an extension of his business, a virtual function that he and other small-business owners had never contemplated before the pandemic wreaked havoc on the U.S. economy.Taking social-distancing mandates to heart, Mr. Kapon conducts the tastings using the teleconferencing platform Zoom as an extension of his business, a virtual function that he and other small-business owners had never contemplated before the pandemic wreaked havoc on the U.S. economy.
More than 5.2 million workers joined the tally of the unemployed last week, the Labor Department reported on Thursday, bringing the four-week total to about 22 million.More than 5.2 million workers joined the tally of the unemployed last week, the Labor Department reported on Thursday, bringing the four-week total to about 22 million.
Faced with plunging sales as nonessential businesses are closed and more Americans lose their jobs, entrepreneurs are getting savvier about reaching their customers.Faced with plunging sales as nonessential businesses are closed and more Americans lose their jobs, entrepreneurs are getting savvier about reaching their customers.
Mr. Kapon has set up a system in which wine aficionados can order ahead to have the bottles delivered before the tasting. The hourlong sessions are followed by continued discussions on Instagram Live with prominent wine figures who take questions from people at home.Mr. Kapon has set up a system in which wine aficionados can order ahead to have the bottles delivered before the tasting. The hourlong sessions are followed by continued discussions on Instagram Live with prominent wine figures who take questions from people at home.
“The backbone of our company is to drink and share great wines with our clients,” Mr. Kapon said. “Wine is meant to be shared. The Zoom format allows you to be with 50 or 60 people.”“The backbone of our company is to drink and share great wines with our clients,” Mr. Kapon said. “Wine is meant to be shared. The Zoom format allows you to be with 50 or 60 people.”
When the pandemic passes, he plans to continue virtual tastings, as well as weekly online auctions, as long as people tune in. He said he missed the energy of the auction room, teeming with wine lovers and the bottles they bring to share while bidding on lots that sell for thousands of dollars, but was rethinking the business strategy given how strong wine sales had been online.When the pandemic passes, he plans to continue virtual tastings, as well as weekly online auctions, as long as people tune in. He said he missed the energy of the auction room, teeming with wine lovers and the bottles they bring to share while bidding on lots that sell for thousands of dollars, but was rethinking the business strategy given how strong wine sales had been online.
Orders from the shop’s website were up 300 percent last month, Mr. Kapon said. E-commerce sales and online auctions contributed to a robust first quarter for Acker. In-person auctions in Hong Kong and New York typically constitute the bulk of the company’s sales, but the virtual versions in March and early April still sold $7 million worth of wine, compared with just over $9 million from the same auctions last year.Orders from the shop’s website were up 300 percent last month, Mr. Kapon said. E-commerce sales and online auctions contributed to a robust first quarter for Acker. In-person auctions in Hong Kong and New York typically constitute the bulk of the company’s sales, but the virtual versions in March and early April still sold $7 million worth of wine, compared with just over $9 million from the same auctions last year.
The coronavirus shutdown has hit the United States economy hard. Sales have ceased for some businesses, like hotels, manufacturers and retailers without an e-commerce presence, while restaurants have hobbled along with curbside delivery.The coronavirus shutdown has hit the United States economy hard. Sales have ceased for some businesses, like hotels, manufacturers and retailers without an e-commerce presence, while restaurants have hobbled along with curbside delivery.
Yet some entrepreneurs have created ways to connect with their customers and develop parts of their businesses they had never considered. These stopgap measures may prove to be new lines of business or new strategies for their old business whenever the economy restarts.Yet some entrepreneurs have created ways to connect with their customers and develop parts of their businesses they had never considered. These stopgap measures may prove to be new lines of business or new strategies for their old business whenever the economy restarts.
Such nimbleness is one advantage that small-business owners have over larger competitors, said Josh Baron, a partner at BanyanGlobal Family Business Advisors and an adjunct professor at the Columbia Business School.Such nimbleness is one advantage that small-business owners have over larger competitors, said Josh Baron, a partner at BanyanGlobal Family Business Advisors and an adjunct professor at the Columbia Business School.
“When time is of the essence, the ability to move fast in a major way is a huge edge,” he said. “I don’t want to paint an overly rosy picture, but after you’ve mitigated the damage as much as you can, how do you turn your energy to getting to the other side of this, whenever that is?”“When time is of the essence, the ability to move fast in a major way is a huge edge,” he said. “I don’t want to paint an overly rosy picture, but after you’ve mitigated the damage as much as you can, how do you turn your energy to getting to the other side of this, whenever that is?”
One response seems to be reworking technology that’s already in place. Digital Reasoning, a privately held data analytics company, was using artificial intelligence to scan medical test results and identify cancer diagnoses more quickly. Now it’s using the same technology to quickly identify patients with Covid-19.One response seems to be reworking technology that’s already in place. Digital Reasoning, a privately held data analytics company, was using artificial intelligence to scan medical test results and identify cancer diagnoses more quickly. Now it’s using the same technology to quickly identify patients with Covid-19.
“It takes very little work on our side to change the models,” said Chris Cashwell, the company’s senior vice president of health care solutions.“It takes very little work on our side to change the models,” said Chris Cashwell, the company’s senior vice president of health care solutions.
Laurel Taylor, founder and chief executive of FutureFuel, which helps people select among the 127 federal repayment programs to reduce their student loan debt, said the company had added two features to respond to the enormous job losses and financial uncertainty. One program, FutureFuel Cares, automatically enrolls a person in a debt relief program it finds for free. (The company normally charges up to $6.99 a month for its service.)Laurel Taylor, founder and chief executive of FutureFuel, which helps people select among the 127 federal repayment programs to reduce their student loan debt, said the company had added two features to respond to the enormous job losses and financial uncertainty. One program, FutureFuel Cares, automatically enrolls a person in a debt relief program it finds for free. (The company normally charges up to $6.99 a month for its service.)
FutureFuel GiveBack, which starts on Monday, finds cash-back savings from the goods that a borrower is buying online among some 450 brands. That money is used to pay down the principal on the borrower’s loan.FutureFuel GiveBack, which starts on Monday, finds cash-back savings from the goods that a borrower is buying online among some 450 brands. That money is used to pay down the principal on the borrower’s loan.
Other companies see the “work from home” move accelerating workplace issues they were pushing for already.Other companies see the “work from home” move accelerating workplace issues they were pushing for already.
JumpCloud provides cloud-based security for its clients’ servers. Most of them wanted to ensure that employees could gain access only while in the office, said Rajat Bhargava, the company’s co-founder and chief executive, but companies now have to provide secure access to their workers at home.JumpCloud provides cloud-based security for its clients’ servers. Most of them wanted to ensure that employees could gain access only while in the office, said Rajat Bhargava, the company’s co-founder and chief executive, but companies now have to provide secure access to their workers at home.
The pandemic “has been a catalyst to shifting to the cloud,” Mr. Bhargava said. “Going forward, this is going to be the new normal.”The pandemic “has been a catalyst to shifting to the cloud,” Mr. Bhargava said. “Going forward, this is going to be the new normal.”
Quick responses for businesses that counted on human interaction may be even more essential.Quick responses for businesses that counted on human interaction may be even more essential.
After five years of building furniture out of wood he found washed up on Florida beaches, Aaron Moreno was doing the kind of large-scale projects he had hoped to do with his company, Drift, in West Palm Beach, Fla. His craftsmanship drew attention, and he was soon creating tables, doors and cabinetry for restaurants and mansions in Palm Beach County.After five years of building furniture out of wood he found washed up on Florida beaches, Aaron Moreno was doing the kind of large-scale projects he had hoped to do with his company, Drift, in West Palm Beach, Fla. His craftsmanship drew attention, and he was soon creating tables, doors and cabinetry for restaurants and mansions in Palm Beach County.
Now his workers have switched to building baby gates, shelving and small coffee tables. Everything has to be small enough for one person to build and for the customer to put it in place without help.Now his workers have switched to building baby gates, shelving and small coffee tables. Everything has to be small enough for one person to build and for the customer to put it in place without help.
“I didn’t want to shut my doors,” Mr. Moreno said. “I have a lot of quality craftsmen who have taken years to put together, and I didn’t want to lose them.”“I didn’t want to shut my doors,” Mr. Moreno said. “I have a lot of quality craftsmen who have taken years to put together, and I didn’t want to lose them.”
The strategy has not replaced what he was earning before: A 10-foot restaurant table would fetch as much as $7,000, but a small coffee table costs $500 to $1,000. But Mr. Moreno said he was optimistic that this could be a new line of business.The strategy has not replaced what he was earning before: A 10-foot restaurant table would fetch as much as $7,000, but a small coffee table costs $500 to $1,000. But Mr. Moreno said he was optimistic that this could be a new line of business.
“When the world reopens, I don’t think things are going to be the same,” he said. “What I hope to learn is how I can meet the needs of my clients moving forward.”“When the world reopens, I don’t think things are going to be the same,” he said. “What I hope to learn is how I can meet the needs of my clients moving forward.”
Updated June 2, 2020 Updated June 5, 2020
The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April.
Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission.Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission.
Exercise researchers and physicians have some blunt advice for those of us aiming to return to regular exercise now: Start slowly and then rev up your workouts, also slowly. American adults tended to be about 12 percent less active after the stay-at-home mandates began in March than they were in January. But there are steps you can take to ease your way back into regular exercise safely. First, “start at no more than 50 percent of the exercise you were doing before Covid,” says Dr. Monica Rho, the chief of musculoskeletal medicine at the Shirley Ryan AbilityLab in Chicago. Thread in some preparatory squats, too, she advises. “When you haven’t been exercising, you lose muscle mass.” Expect some muscle twinges after these preliminary, post-lockdown sessions, especially a day or two later. But sudden or increasing pain during exercise is a clarion call to stop and return home.Exercise researchers and physicians have some blunt advice for those of us aiming to return to regular exercise now: Start slowly and then rev up your workouts, also slowly. American adults tended to be about 12 percent less active after the stay-at-home mandates began in March than they were in January. But there are steps you can take to ease your way back into regular exercise safely. First, “start at no more than 50 percent of the exercise you were doing before Covid,” says Dr. Monica Rho, the chief of musculoskeletal medicine at the Shirley Ryan AbilityLab in Chicago. Thread in some preparatory squats, too, she advises. “When you haven’t been exercising, you lose muscle mass.” Expect some muscle twinges after these preliminary, post-lockdown sessions, especially a day or two later. But sudden or increasing pain during exercise is a clarion call to stop and return home.
States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people.States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people.
Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks.Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks.
Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days.Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days.
If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.)If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.)
More than 40 million people — the equivalent of 1 in 4 U.S. workers — have filed for unemployment benefits since the pandemic took hold. One in five who were working in February reported losing a job or being furloughed in March or the beginning of April, data from a Federal Reserve survey released on May 14 showed, and that pain was highly concentrated among low earners. Fully 39 percent of former workers living in a household earning $40,000 or less lost work, compared with 13 percent in those making more than $100,000, a Fed official said.
Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications.Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications.
The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing.The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing.
If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others.If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others.
If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested.If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested.
To be sure, many entrepreneurs are overwhelmed by the crisis and unable to find a way out. Millions of small-business owners have applied for emergency loans, but the Small Business Administration has run out of money for its $349 billion Paycheck Protection Program.To be sure, many entrepreneurs are overwhelmed by the crisis and unable to find a way out. Millions of small-business owners have applied for emergency loans, but the Small Business Administration has run out of money for its $349 billion Paycheck Protection Program.
Gympass, which Cesar Carvalho helped found seven years ago to offer flexible gym memberships, had no backup plan. It worked with companies like Tesla and PwC to give their employees access to 50,000 gyms worldwide.Gympass, which Cesar Carvalho helped found seven years ago to offer flexible gym memberships, had no backup plan. It worked with companies like Tesla and PwC to give their employees access to 50,000 gyms worldwide.
“All the gyms and studios in all the countries we operate in shut down,” Mr. Carvalho said. “The core of the model was always based on in-person visits to our business partners. We had zero live-streaming solutions.”“All the gyms and studios in all the countries we operate in shut down,” Mr. Carvalho said. “The core of the model was always based on in-person visits to our business partners. We had zero live-streaming solutions.”
In the past month, he has added two online options to Gympass: a collection of wellness apps for people stuck at home and a system that allows the company’s partners to be paid for live-streamed classes.In the past month, he has added two online options to Gympass: a collection of wellness apps for people stuck at home and a system that allows the company’s partners to be paid for live-streamed classes.
“We coached studios on how to charge for this and to encourage the sense of community,” Mr. Carvalho said.“We coached studios on how to charge for this and to encourage the sense of community,” Mr. Carvalho said.
He said these additions had brought in 20 new clients, including Zynga, the gaming company. “People are staying at home, but the need is still there to get active and have a healthier lifestyle,” he said.He said these additions had brought in 20 new clients, including Zynga, the gaming company. “People are staying at home, but the need is still there to get active and have a healthier lifestyle,” he said.
Such rapid shifts are not without hiccups or learning to adapt on the fly. Mr. Kapon commands his wine-tasting in a setup that is more akin to “The Wizard of Oz” than a tasting room in a New York wine shop. During the tasting, he discusses the virtues of what is in his glass and calls on people for their thoughts as if they were in the room.Such rapid shifts are not without hiccups or learning to adapt on the fly. Mr. Kapon commands his wine-tasting in a setup that is more akin to “The Wizard of Oz” than a tasting room in a New York wine shop. During the tasting, he discusses the virtues of what is in his glass and calls on people for their thoughts as if they were in the room.
But if the camera pulled back, it would reveal Mr. Kapon sitting in front of a sheet in his bedroom in San Juan, P.R. He rigged household lamps to create the right lighting and bought a webcam.But if the camera pulled back, it would reveal Mr. Kapon sitting in front of a sheet in his bedroom in San Juan, P.R. He rigged household lamps to create the right lighting and bought a webcam.
“I actually love it,” he said. “You get to connect with so many people who you don’t get to see that often.”“I actually love it,” he said. “You get to connect with so many people who you don’t get to see that often.”
There is one downside to the tastings: What to do with four opened bottles of wine when the other attendees are virtual?There is one downside to the tastings: What to do with four opened bottles of wine when the other attendees are virtual?