Businesses survive pandemic’s challenges: PPP and local support credited

Sidewalk markets, masks, pickup windows, home delivery, more masks, remote learning, essential workers, social distance, Paycheck Protection Program (PPP) and "buy local" becoming a rallying mantra; these are just some of the words the year 2020 will leave behind. And based on what business owners from around the Downeast area are saying, 2021 is a welcome relief, with the word "hope" floating to the surface.
From Machias to Calais, Lubec and Eastport, St. Stephen to Grand Manan, 2020 is a year many are happy to see end. Local businesses endured with their steadfast approach, open lines of communication and communities -- while cautious and sometimes scared -- that rallied to support as best they could.
For one Eastport business, history was on its side. Raye's Mustard opened in 1900. "Raye's Mustard was in business back in 1918 during the Spanish flu pandemic and continued on," says owner Karen Raye. "And now, 102 years later, we've survived another worldwide pandemic, and we plan to keep on making our award winning mustard for years to come."
Raye admits summer traffic was down, primarily because of the lack of festivals and other entertainment venues being shut down. Raye did notice, and other businesses confirmed, that higher than normal traffic from Mainers traveling within the state helped Downeast businesses make up for the losses in out of state vacation dollars.
Raye is thankful for the PPP assistance in the beginning but adds that their business diversification helped greatly. "We are fortunate that we have many business sectors," says Raye. "We adjusted our approach and placed heavier emphasis on mail order sales business because people were at home, cooking more and shopping online. Overall, we are doing OK."
However, over at Moose Island Marine in Eastport, owner Dean Pike says, "We lost 30% of our business with the flip of a switch when the Canadian border shut down. It's been touch and go ever since, and it isn't going to change until the border opens up again." While the business did receive a small PPP loan, he says that did not help much.
Although the cruise ship Riviera, which was berthed at the Eastport breakwater for much of the summer, helped some Eastport businesses, Pike says his business improved dramatically after the cruise ship left on August 1. "The cruise ship killed us. How are you going to go fishing on the breakwater?" He says about 20% of Moose Island Marine's income during the summer is from recreational fishing and boating, and "the cruise ship deterred that quite a bit." However, Pike is also the treasurer of the Eastport Port Authority, so he says he understood the necessity of the cruise ship berthing income for the port authority, which saw its revenues decline from the decrease in shipping through the port. "It was a double-edged sword for me," he says, adding, "I'm just trying to lose money as slowly as I can."

Machias and Calais communities support businesses
Machias River General Store -- a newcomer to the Downeast business world in 2019 -- opened its doors in the same building that once held the Hoyt family business, Machias Hardware Store. Then the pandemic forced the owners to modify their approach. The Finn and Roberts families, who own the business, saw a dramatic drop in business in their first full summer because of the pandemic.
"We had many struggles in learning how to navigate the pandemic and to adapt to the new environment and economy when it first impacted our community," says Gina Finn. "We closed for a period of time until we felt as though we could operate comfortably and safely for our employees and community. We have been blown away with all of the outpouring love and support from our customers near and far."
The store provides specialty spices, cookware, baking tools and Maine-made products and local goods. Finn says, "We have not received any financial aid as of yet but will apply for the new PPP that is coming out." For 2021, Finn says they plan to continue curbside pickup and look to create an online marketplace with assistance from local high school students.
Betsy French, owner of the French Cellar in Machias, was also trying to figure out a way to respond to something not seen in her lifetime. After a three month closure beginning in March, her business of providing wines, cheese and craft beers as well as being home to a dozen local artisans and authors who display and sell their work, received support from the community in a big way.
"Residents bent over backwards to bring their business to local shops," says French. "Just another example of how the community tends to pull together during difficult times." French says she did not apply for any PPP but rather focused on home delivery during the closure, and that continues today. "Business was up for us by 15%," says French.
Helen's Restaurant is considered by its patrons as a Machias staple with a history dating back to 1950. The business moved to its current location in 1983 and since 2008 has been owned by Julie and Dave Barker. The couple admits they have seen their share of ups and downs. In 2014 the restaurant was destroyed by fire and quickly rebuilt, reopening the summer of 2015.
Faced with an economy that oscillates like an amusement ride, 2020 was the next challenge. "The most intense roller-coaster ride we have ever been on," says Julie Barker. "Business has been up and down and seems to fluctuate daily, weekly and monthly." Barker also noted a change in summer visitors. "Typically we have our regular summer residents, day trippers and lots of folks passing through on their way to Canada. In 2020 we saw lots of new visitors who chose Washington County as their destination, and [this] is a source of encouragement. Thanksgiving to New Year's was surprisingly busier than anticipated. New Year's Eve was better than 2019, which was a shock."
Barker notes that the PPP was vital to the business and that the process was simple and straightforward, but to stay on top of it all while running the business was at times exhausting. Barker says, "We are thankful the House and Senate saw the importance of extending the time period to use the funding, otherwise we would not have been able to use what we were approved for."
Looking to 2021, Barker believes the strong housing market and the diverse group of travelers to the area help contribute to a sense of optimism that their business will boom. "Currently we are hiring kitchen staff to be trained and ready for a busy summer season, specifically kitchen staff because we feel the takeout business will remain strong," says Barker.
The 30 year old, family run Calais Ace Homecenter was not deterred when faced with uncertain times. Owner Drew Case says the business was buoyed by the recent boom in construction and home-based do-it-yourself projects the pandemic spurred. "We stayed consistent due to home construction in the area," says Case. And though he notes both summer visitors and holiday sales were down, they did not experience any layoffs and were assisted with that challenge through the PPP funds. "We'll continue business as usual," says Case. "We're definitely glad 2020 is behind us and look forward to 2021."
Over at Johnson's True Value, owner David Johnson says, "While much has changed about the way that we conduct business, we actually saw much more volume, especially during the early days. There was a massive influx in additional business by people who had to suddenly stay home."
He notes that it appeared as though Amazon and other online retailers were experiencing delays in shipping, and since Johnson's already offered free delivery and was able to match prices, the store saw quite an increase in customers. "While it's hard to say, it seems like now that everyone has become accustomed to the way things are, we may have reached a plateau."
Johnson notes that the store was able to receive PPP funding, which helped a great deal. "We were able to keep everyone employed, and it was a great help in obtaining the things we needed like personal protective equipment, signs and screens."
He adds, "We are very proud of our people for being as cautious as they could be during some difficult times. They did a tremendous job adapting and still providing the level of customer service our customers deserve."

Lubec businesses face challenges head-on
Jim Heyer of the Water Street Tavern in Lubec says his room rentals were off about 70% over 2019. "We were down $70,000," he says. The restaurant business fared better; it was down 20% to 22% overall. "In May we got very little, but by July it was only off about 15%" over the previous July. "In August we almost broke even," Heyer says, noting they would have done better were it not for the loss of half of the tables - closed to ensure proper social distancing. The PPP "helped us maintain staff; it worked just fine," allowing the business to keep all employees on the payroll.
Victor Trafford's experience was a bit different at the Inn at the Wharf. The government unemployment subsidy "hurt us a lot" by providing a disincentive to employment. "We couldn't get the staff we wanted," he explains. Overall, the hotel side of the business was down 20%, he says, partially from the loss of SummerKeys, the international marathon and other event based business. The number of visitors, according to Trafford, was off 85% to 90% early in the year, but by late summer was only down 5%. "It was quite amazing, actually," he says. The PPP "worked out well," helping him to maintain his staff during slow periods. "There were times we probably should not have been open," he says, describing situations when the restaurant was full but badly short staffed.
Gale White of the Lubec Brewing Company says his business was down 30%, "but without outdoor service it would have been down 100%." The PPP "saved me" by allowing him to maintain his regular employees, although at times they worked at tasks different than usual. He chose not to open the restaurant side out of concern for public health. White explains, "It's too small, ventilation is poor and there's only one bathroom, so I didn't feel comfortable bringing people in." White also encountered a difficulty not faced by other businesses: the loss of market demand for beer sold by restaurants. "I had more beer than I ever had," he says. "There was no place to sell the stuff." He noted that Victor Trafford purchased one keg despite doubts about needing that much - "he ended up buying six or seven kegs."

Representatives sum up 2020
And from voices that work to help Downeast businesses, state representatives shared a few words when asked about 2020. Words such as "overwhelmed," "sadness" and "ineffable" made the list with many of the same feelings being shared with the communities they represent heading into 2021.
"I think people this year were overwhelmed by the scale and scope of the impact of this virus," says Rep. Will Tuell of East Machias. "The level of loss is truly incomprehensible, and I think a lot of folks are struggling to make sense of it after these last 10 months. As for 2021, I think we all are entering the year with a sense of uncertainty."
For Calais resident and former State Senator Joyce Maker, her word for 2020 is "sadness." "There are so many ways to describe it: borders closed from friends, families, loss of business, not seeing friends and family and not knowing what will be next," says Maker. "For 2021, hopefulness with the vaccine and the knowledge we have gained by making it through this past year."
And for current State Senator Marianne Moore of Calais, her word for 2020 is a borrowed one from her 17 year old granddaughter, who, when asked, offered up the word "ineffable." Moore says, "2020 definitely has been an inexpressible, indescribable, overwhelming and beyond words kind of year. As for 2021, I believe we should be optimistic and take that hopeful view as we yearn to return to some sort of normalcy."
(Edward French and Wayne Tripp contributed to this article.)