Despite shutdowns from the pandemic and nationwide supply chain, inflation and labor shortage issues that followed, the city of Georgetown saw a 20% jump in its sales tax allocations in fiscal year 2021-22.

From March 2020-October 2022, Community Impact previously reported at least 23 Georgetown businesses closed. However, many local business owners who remained open said it was thanks to community support and the ability to pivot operations.

“I had to learn a lot of new tricks,” The Knitting Cup owner Shawnee Kunz said. “Social media became one of my greatest tools, and it still is.”

Jemme Lynn Wilks, owner of home decor store La Bella Casa, said the pandemic temporarily threw a wrench in her daily operations, but she still was able to break sales records during the 2021 holiday season. Wilks and other local business owners are hopeful this holiday season yields similar results.

“We did amazing last Christmas, and I hope to do it again this year,” Wilks said. “We have had some changes in our price points over the past few years, but my loyal customers have been very supportive.”


Staying in business

Georgetown retailers who stayed in business throughout the pandemic said they survived because of their industries, work ethic and customers.

“It was a hard time for everyone,” Kunz said. “Some industries were hit worse than others, but we really were all in it together. I am very lucky to still be here.”

Loralee St. John, owner of The Golf Ranch, said unlike standard retail or the food service industry, she thinks the golf industry boomed.


“I think because people had more free time, they wanted to be outside, they wanted to be safe, so coincidentally golf became a popular activity,” St. John said.

Similarly, Kunz said many people took up crafting during the pandemic.

“People wanted to keep their hands busy,” Kunz said. “Knitting is a great way to not only stimulate but also relax your mind.”

Jane Estes, co-owner of Lark & Owl Booksellers said the book industry as a whole did well, but being a small business and not having “next-day shipping” compelled them to restructure their daily operations.


“We had to rebuild our business structure three different times within that two-year period,” Estes said.

Additionally, the city of Georgetown and the Georgetown Chamber of Commerce partnered to provide $200,000 in grants to 67 local small businesses, and Williamson County’s Wilco Forward Small Business Grant Program issued 3,509 grants, totaling more than $33.2 million. These programs were coupled with state and federal aid, including the Paycheck Protection Program.

Wilks said because of the support she received from the city and the PPP, she was able to keep her doors open and pay employees while she was closed in March and April 2020.

“It kept my employees happy, so when we opened back up, they were eager to return,” Wilks said. “Closing my doors was a bit scary, but my loyal customers kept me going.”


Why local matters

Shopping small can help boost the local economy due to the way sales and use taxes are assigned, according to city officials.

“When you shop with us, you are putting money directly back into our community,” Kunz said. “You’re helping not only me but also our schools, police department, our roads and our library.”

In Texas, sales and use taxes are collected by the retail business and sent to the Comptroller’s Office. The state retains 6.25% of the 8.25% tax and sends 2% back to the city.


For online sales, the sales tax revenue is allocated back to the city where the retailer is based, business owners said.

Sales tax is projected to account for 28.46% of the city’s general fund budget for fiscal year 2022-23. The city’s sales tax revenue supports the general fund, transportation and street maintenance, economic development, and property tax relief.

For example, the city has been able to pay for projects, such as the resurfacing and paving projects dispersed across Georgetown neighborhoods, which is solely funded by sales tax revenue, according to a city representative.

“Shopping small and shopping local is critical to the success of the Georgetown economy,” Georgetown Downtown Development Manager• •Kim• •McAuliffe said. “When you shop local, you are helping to support and strengthen community vibrancy. We are so fortunate to have a large amount of small, locally owned businesses in Georgetown that help make our community really unique and special.”

Several local business owners encouraged holiday shoppers to enjoy time with their family, in their community and to continue shopping small.

“I hope to have as good of a holiday season as we did last year,” Wilks said. “This city is filled with charming, wonderful people, and l only hope to meet as many of them as I can.”

Pivoting for the future

Local business owners said the challenges with supply chain, inflation and labor shortages that plagued much of the state and nation during the economic recovery from the pandemic did not hinder their operations.

Still, Georgetown businesses incurred other costs as they adjusted operations and moved a percentage of their sales online.

“It felt like as soon as we made a profit, it was going right back out to handle shipping costs,” Wilks said.

As a result, some prices on products at La Bella Casa saw a minor increase, she said.

“In order to keep my quality products in store, I had to adjust some of my prices,” Wilks said. “However, we hit records [at the end of the year] last year, and I am hopeful we will do it again.”

Many of these adjustments made as a result of the pandemic are here to stay, as it has attracted new customers and opened additional revenue sources for the retailers.

Kunz said she started doing unboxing videos and short how-tos to drive engagement and keep the knitting community involved.

“Just about anyone can have a YouTube channel,” Kunz said. “The amount of new support I have seen in the past few years is really heart-touching.”

Similarly, Estes said her team looked into other outreach strategies. The bookstore started online sales during the pandemic and continues to offer online shopping with in-store pickup.

Estes said since reintroducing its book clubs, author events and other in-person gatherings, community engagement has been at an all-time high.

“People are so happy to be back in public and around people again,” Estes said. “We hope this sense of community continues to grow.”