Posted on 03/13/2020 3:41:27 PM PDT by doug from upland
As more people follow the advice of global health leaders and practice social distancing in an effort to slow the spread of COVID-19, small businesses are going to suffer.
“This is probably one of the most critical times particularly to support our small business community,” said Michael Lisle, economic development coordinator for the Town of Summerville. “Small businesses tend to be the first to lose out when something like this happens. People either start shopping online or they go to the big box stores because they’re buying in bulk.”
Lisle said there are still ways that consumers can shop small amid this outbreak.
“Gift cards to some of our small, locally-owned restaurants are a fantastic way to support local businesses and help people because they’re not having to worry about meal prep or grocery shopping,” Lisle said.
Buying gift cards from local businesses gives them the immediate revenue and allows consumers to cash in on the treat when the threat of the virus has calmed.
“The most important thing is that you can’t forget about (local businesses),” Lisle said. “This is more than ever, the time that they need our support.”
Several local businesses have taken measures to ensure their environments are safe. At People, Places & Quilts, hand sanitizer is available for customers to use upon entering or exiting. The quilt shop posted to social media that they are open for business and if employees feel sick, they will stay home.
“We are a community and we will be in community but with concern for others,” the post read.
“We will not isolate in fear nor cause fear with unnecessary cancellations.”
(this is a developing story)
Good idea. OR order toilet paper on line and have it shipped to your favorite.......
“Buying gift cards from local businesses gives them the immediate revenue “
Companies cannot recognize revenue upon the initial sale of a gift card because of a key revenue recognition principle that states that revenue is recognized when or as an entity satisfies a performance obligation by transferring a promised good or service to a customer.
Not a great idea. If the business goes under, you lose your money.
“”Gift cards to some of our small, locally-owned restaurants”
The last thing I want to do at this time is eat in a restaurant - with a gift card or without. I brought my husband home from a doctor’s appointment after lunch time today and we could have gone by our favorite Mexican restaurant and treated ourselves but I figured - Nah - safer to eat at home.
Bingo. Dumb investment.
From an accounting perspective sure. But from a cash flow perspective a small to medium sized business is going to use the $ upon receipt.
The point is to buy the gift card now and spend it when the virus has run its course.
We’re going out tomorrow night to a place a buddy of mine’s band is playing at.
A new place just opened a couple weeks ago in town. We may try to got there in the next week or two
Gift Cards and pre paid cards are a scam for banks who charge a fee to the retailer for the use. The fee could be X for purchases under Y amount and a percentage of 2-3 per cent for purchases greater than Y.
You are just enriching Visa & MC for gift card purchases. They are also counting on these cards not being used or left with a balance that expires after Z amount of time.
My kids give me Amazon cards for Christmas. Lotsa fun spending someone else’s money.
There is no revenue to the retailer until the card is used, with a cost to the retailer for each sale.
Then include a 3-4 day hold before the retailer is credited for the sale.
Keeps your bookkeeper busy tracking the money.
Gift Cards are a scam.
“...Buying gift cards from local businesses
gives them the immediate revenue and
allows consumers to cash in on the treat
when the threat of the virus has calmed...”
-
Absolute bullcrap.
We’re retired on a very limited income. Any extra money went to prepping. Sorry!
I’ve already planned on going to a couple of restaurants when this is all over, which won’t be too long I hope.......
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