The majority of businesses on St. John are very small. These businesses have a tendency to be more vulnerable to environmental and economic changes such as those introduced through the hurricanes. Operating a small business can already be a struggle in a relatively stable environment, and the impact of the storms only served to intensify the inherent difficulties of small business ownership and management.
The logistical challenges faced by St. John residents after the storms include the loss of several barges for vehicle traffic from St. Thomas and shutdown of the US Customs operation on the island, eliminating the ability to directly import materials. Many businesses were left without functional structures from which to operate – or lost important equipment. Others saw their employees leave due to either evacuation or losing their homes in the storms. Many of the businesses rely on the tourism and because their revenue streams were impacted, their futures remain uncertain. Developing an alliance through which small businesses on St. John can pool recovery resources is sure to assist with keeping recovery rates on St. John high and making island businesses more resilient. Prior to the storms, there had been some discussion among small business owners on the island regarding the creation of a Small Business Alliance. Following the storms, the Economic Long-Term Recovery Working Group identified the creation of a small business alliance as a key factor in increasing post-storm resiliency, and the idea has continued to receive strong support from local business community. The Alliance is expected to provide networking and professional growth opportunities for local small business owners and managers. In addition, since tourism dollars are the main sustainer of most businesses on St. John, the Alliance expects to work closely with the USVI Department of Tourism to ensure St. John’s successful recovery as a tourism destination is well represented in all promotions. The Alliance also hopes to support members by combining resources and numbers to acquire group insurance policies for members and to provide opportunities for discounts through group/bulk purchasing.
IMPLEMENTATION STEPS: 1. Finish creating mission statement, create goals and establish roles and funding sources. 2. Find an outside expert on creating successful business alliances and invite them to speak. 3. Determine whether membership dues will be required and how they will be decided 4. Determine whether a paid position will be necessary to coordinate and manage the alliance 5. Create a list of actions and projects the Alliance wishes to undertake; assign members to lead those projects
Key Players: St. John LTRT Alignment: Econ RSF Cost: < $100,000 Timeline: One Year