LOCAL BUSINESSES IN North Toronto may be suffering, but many merchants remain hopeful that, with the support of the community, they will be able to weather the economic storm.
“You have to put a smile on your face and take steps forward,” said Wendy Goldman, the owner of Leaside’s Your Clothes Friend clothing store. “Instead of saying, ‘Poor me,’ you have to understand that, yes, it’s a recession, but we’ve been there and done that before.”
Though the winter months after Christmas are traditionally slow months for retailers and restaurants, some Main Street businesses are reporting deeper losses than previous years.
“I think we’re seeing a little bit of a drop, definitely,” said Vito Rizzuto, owner of Five Doors North, an Italian restaurant near Yonge Street and Eglinton Avenue.
Rizzuto said customers are much more careful this year to get value in their orders when they eat out.
“Spending habits are changing a little bit. People aren’t spending as much,” he said, adding that instead of having a bottle of wine, for example, patrons will drink by the glass. “I just think they’re being a little cautious of how much they’re spending when they do go out.”
Despite a drop in sales, the restaurateur hasn’t made any changes to his business model or menu or laid off any staff, in the hopes that his customer’s new spending habits are temporary.
“We’re not looking to cut back anyway,” he said. “Especially being in the service industry, it’s difficult to cut back. On busier nights it could affect your service, and then you’re worse off.”
On Mt. Pleasant Avenue, the situation is much the same. High- end jeweller Linda Pendwarden is spending conservatively, and even though she hasn’t laid anyone off yet, she won’t be hiring any time soon.
“I’m definitely not hiring anyone right now,” she said. “I’m waiting that out.”
Instead, she’s focusing her energy on marketing and advertising. “I’m promoting a lot more,” she said. “I’m doing mail outs and keeping in touch with my customers.”
“Everybody’s got a sense of doom and gloom, and everybody’s concerned,” said Rick O’Connor, the co-ordinator of the Yonge Lawrence BIA. “The mood is definitely very cautious with a lot of the merchants. Everybody’s worried. Let’s face it.”
Small businesses are crucial to building strong communities, said Rebecca Reuber, a professor of entrepreneurship and small business at the Rotman School of Management.
“It keeps people in the neighbourhood, for healthy, vibrant communities,” she said. “[Small businesses] understand very well the needs of people in the neighbourhood.”
The BIA will continue to work together on projects that will attract consumers to the area, O’Connor said. Flower baskets will still be coming this spring, and the group will continue the maintenance of street furniture and banners.
Your Clothes Friend’s owner, Wendy Goldman, hopes that as the weather heats up, so will business. “Once the weather changes, it will bring people onto the street and business will pick up.”