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As West Maui slowly reopens to tourism, many small businesses face financial uncertainty

Hawaiʻi officials have said recovering from the Maui wildfires will be a long and costly process.
Justin Sullivan
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Hawaiʻi officials have said recovering from the Maui wildfires will be a long and costly process.

While West Maui slowly reopens to tourism, many small business owners say they are facing a financial crisis — along with their workers.

Some have made comparisons to the federal response to the COVID-19 pandemic and its support of small businesses and their employees.

The difference for Timothy Lara, founder of Hawaiian Paddle Sports, is that there aren't additional resources for business owners or employees like there were during the pandemic.

"There's not a second unemployment coming from the federal government. There's not adaptability grants and PPP grants and other things coming to business owners," Lara said.

The Small Business Administration does have what it calls “Economic Injury Disaster Loans” available, but no disaster-related grants.

And some small businesses in West Maui already took out similar SBA loans to get through the pandemic.

"So in this situation that we're currently in, if you didn't lose your housing as a renter or as an owner there’s really not resources available for you.

According to the state Department of Business, Economic Development and Tourism, Maui unemployment increased dramatically one week after the fire, reaching nearly 4,500 new claims.

Additionally, Maui saw nearly 60% fewer visitors in August compared to the same time last year, according to DBEDT.

"And so, our employees that you know have three kids and are trying to pay their mortgage, or pay their rent, and put food on the table and buy clothes for their kids to go back to school, they can’t do it. And I think that’s important to talk about," Lara said.

Parts of West Maui officially reopened to tourists Sunday, two months after the wildfires blazed through Lāhainā. The hope is that visitors will bring a much-needed boost to the island economy.

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