Atlanta

“Like a Cat. 6 hurricane:” Small businesses feel devastating impact of coronavirus

ATLANTA — The extension of President Donald Trump's social distancing recommendations naturally will have consequences in Georgia and across the country, especially now that it's been extended until April 30.

Channel 2 Anchor Sophia Choi looked into how the extension could further impact families and businesses that are already struggling.

Choi talked to Mia Canada, owner of "It's a Wrap, Atlanta," who is looking for a loan. She's already applied after letting all of her employees go.

Now, she's even more anxious about her future.

[SPECIAL SECTION --> Latest on coronavirus in Georgia and around the world]

"It is challenging to stay in high spirits when things are so uncertain," Canada said.

Georgia state economist Rajeet Dhawan said Georgia's economy is more at risk with each extension.

"Our bread and butter over here was tourism, hospitality and air transportation," Dhawan said. "Those three have been hurt really bad."

He said the president's aid package will help Georgians weather this heath and now economic crisis, but he said until those checks and loans come through, business and families will need to learn the art of negotiation.

[DOWNLOAD: WSB-TV app for alerts sent to you the moment new numbers are released]

"In between, the businesses will have to work it out with their banks, the landlords, and the other things on forbearance," Dhawan said.

He said once they get it, the aid money will help Georgians like Mia Canada survive for a couple of months. But after that, you can expect a second round of layoffs and businesses closing.

"Suppliers, other people who provide the stuff, if the restaurants and hotels are not open, and they’re not using the services, they will not put in demand for the supplies," Dhawan said. "So you will see a ripple effect go into those areas."

Dhawan said right now, it's still a very uncertain future for Georgians.

“This is like a natural disaster. Like a category six hurricane. It’s made landfall, it’s severe, it’s still playing out. And we don’t know when it ends,” Dhawan said. “Only when it ends can you plan about rebuilding and other things.”