CollectionsSep 11, 2026
A Sapphire ‘Stardust’ Ring From Greenwich St. Jewelers The Latine-owned New York jeweler is marking two milestones this year: its 50th anniversary and the 25th anniversary of the 9/11 attacks.
IndependentsMar 31, 2020
On Data: The Questions You Need to Ask About CARES
In another special edition of On Data, Sherry Smith says jewelers need to consult their team of experts about the Coronavirus Aid, Relief and Economic Security Act.
Sherry Smith is director of business development for data and consulting company The Edge Retail Academy. She can be reached at sherry@edgeretailacademy.com.
The first confirmed coronavirus case in the United States was reported on March 5.
Although we are less than 30 days into this pandemic in the U.S., the numbers are staggering—more than 120,000 confirmed cases and over 2,000 deaths as of Monday, the World Health Organization reports.
We now lead the world in total number of cases.
We’ve never been here before, battling a nationwide pandemic and facing so much uncertainty.
We know we will come out of this; we just aren’t sure when or what that might look like, as many of us will be adjusting to a new normal.
In the meantime, though, it is critical—and I know you’ve heard me say this before and I make no apologies for saying it again—but we must focus on what we can control.
So in this column, I’d like to address the multiple stimulus packages and relief programs available to all of us as it relates to our employees.
RELATED CONTENT: 5 Things Retailers Should Know About the Stimulus Bill
Last week, Congress passed a third stimulus package, which has allocated an additional $350 billion to small businesses and $150 billion for state and local stimulus finds. There are also provisions in the bill that will temporarily allow small businesses to claim deductions using today’s losses against past profits to claim quick refunds for cash infusions.
RELATED CONTENT: 5 Things Retailers Should Know About the Stimulus Bill
Last week, Congress passed a third stimulus package, which has allocated an additional $350 billion to small businesses and $150 billion for state and local stimulus finds. There are also provisions in the bill that will temporarily allow small businesses to claim deductions using today’s losses against past profits to claim quick refunds for cash infusions.
There’s no doubt that it can be overwhelming trying to understand and decode all the information relevant to your business in the $2 trillion stimulus package, otherwise known as the CARES (Coronavirus Aid, Relief and Economic Security) Act.
Therefore, you must rely on your corporate attorney, certified public account and, if you utilize one, your payroll company.
Remember their roles require a complete understanding of the legalities and the nuances associated with all the stimulus packages. This is precisely what you pay them for.
In fact, it’s so easy to misinterpret and/or misunderstand how some of these programs will work that I urge you to avoid taking any action until you have spoken to your experts.
You simply can’t afford costly missteps.
Start by assessing your current financial situation. What does that look like?
Define your objective, which now for many of our retailers is about sustainability. What does that look like? Am I able to be self-reliant, or do I need assistance? Perhaps it’s a combination of both, depending on
how long little to no revenue will be coming in.
Then set aside 15 to 30 minutes to create a list of questions for your team of experts.
It’s important to understand all your options when it comes to your employees and the potential legal ramifications.
A sample list of questions might look like this.
1) Am I obligated to give my employees paid leave?
1a) Does this apply to all businesses, or are small businesses exempt?
2) If I offer paid leave to my current employees, will I be fully reimbursed?
3) Is it smart to take out a loan, given the low interest rates, in order to keep my employees on paid leave?
4) What advantages and disadvantages are there between paid leave versus layoffs?
5) If I am reimbursed, how quickly will those funds come through?
6) What form will the reimbursement take, cash or tax credits?
7) If part of the reimbursement is via tax credits, when would those be realized?
8) If I lay off my employees, am I obligated to pay them their PTO (personal time off) time first?
9) If I take out a loan to use for payroll expenses, is loan forgiveness a guarantee?
10) If not, what options do I have?
11) Is there anything I have overlooked?
1a) Does this apply to all businesses, or are small businesses exempt?
2) If I offer paid leave to my current employees, will I be fully reimbursed?
3) Is it smart to take out a loan, given the low interest rates, in order to keep my employees on paid leave?
4) What advantages and disadvantages are there between paid leave versus layoffs?
5) If I am reimbursed, how quickly will those funds come through?
6) What form will the reimbursement take, cash or tax credits?
7) If part of the reimbursement is via tax credits, when would those be realized?
8) If I lay off my employees, am I obligated to pay them their PTO (personal time off) time first?
9) If I take out a loan to use for payroll expenses, is loan forgiveness a guarantee?
10) If not, what options do I have?
11) Is there anything I have overlooked?
Let me give an example of why it’s so important to do this exercise.
This excerpt is from a CNBC article published last Thursday and, yes, quickly updated the next day.
“Under the CARES Act, the loans can be for as much as 2.5 times payroll or $10 million, whichever is less. Payments can be deferred by up to a year, and businesses will be able to apply for forgiveness of the loan (or a portion of it) based on the amount used during the eight weeks following loan approval. Any amount not forgiven would have a maximum interest rate of 4 percent.”
I want to use this example because I’ve had many retailers debate keeping their employees on paid leave vs. unpaid leave because some are convinced they will be fully reimbursed.
Well, that’s simply not guaranteed. Look at the language above. While your payments could be deferred for up to a year, which would be very helpful, you will still have to apply for a forgiveness of the loan.
And, all or part of it may be forgiven, while the unforgiven portion would have a maximum interest rate of 4 percent.
One can easily see how this one paragraph could be subject to multiple interpretations.
The potential costly part to the retailer is that many of them would have to take a loan in order to grant paid leave. That’s a loan that might not be fully forgiven, which means you’ve taken on additional debt that you’ll have to pay back.
There is another article, also published last Thursday, from The New York Times that states payroll expenses would be fully covered, but there is a timeline in which you have to use those funds.
The bottom line is: There simply is no one right answer for all retailers, which is why you want to consider all the facts and ultimately make the decision that is in the best interest of your business.
Given how rapidly things are changing, you can understand why it’s imperative to rely on your team of experts. Utilize them! They will ensure you understand the impact of your chosen course of action.
At the end of the day, we all want to be standing on the other side of this pandemic.
Be well and stay healthy!
Sherry Smith is director of business development for data and consulting company The Edge Retail Academy. In her role, Smith works with wholesalers, brands and retail stores on business mentoring, and data analysis and aggregation. She can be reached at sherry@edgeretailacademy.com.
More on Independents
The Latest
ColumnistsSep 11, 2026
Sherry Smith: Stop Waiting for December to Save Your ChristmasThe stores that have a great December are the ones that made good decisions in August, September, and October, Sherry Smith writes.
MajorsSep 11, 2026
The Wishing Place by JTV OpensThe jewelry retail broadcast network has sponsored a new space for Make-A-Wish East Tennessee on its campus in Knoxville.
Brought to you by
Your Piece Could Be the One Editors Talk AboutSubmit your pieces for a chance to win in this year's competition.
Events & AwardsSep 11, 2026
The Edge Awards Scholarships to 2 Young Jewelry ProfessionalsThe recipients were recognized at the 24 Karat Club of the Southeastern United States’ annual banquet.
Weekly QuizSep 10, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsSep 10, 2026
Lagos Founder Steven Lagos Steps Down as CEO Keith Rolfe, CFO and COO of Lagos, is now at the jewelry brand’s helm while Steven takes on the role of executive chairman.
CrimeSep 10, 2026
FBI Offers $50K Reward for ‘Most Wanted’ Fugitive in $1M Jewelry HeistAlberto Perez-Elias is one of four men charged in the armed robbery of a Cape Coral, Florida, jewelry store and remains at large.
Brought to you by
Why More Jewelry Retailers Are Hosting Turnkey Estate Buying EventsRetailers are seeking new ways to attract customers, increase traffic, and create revenue – Estate buying events are a popular solution.
AuctionsSep 10, 2026
Massive Matched Pair of Paraíba Tourmalines Head to Sotheby’sThe “Kat Florence Luminas” will be offered together as one lot and could fetch up to $637,000.
SourcingSep 10, 2026
AGTA Announces 4 Newly Elected DirectorsFour directors were elected to the AGTA board and will serve three-year terms beginning in February.
AuctionsSep 10, 2026
Former Sotheby’s, Christie’s Exec Appointed CEO of Julien’s Auctions Ken Citron joins the celebrity memorabilia-focused auction house ahead of its first week-long series of events in Abu Dhabi.
FinancialsSep 09, 2026
Signet Jewelers to ‘Double Down’ on Blue Nile Amid Strong SalesThe jewelry retailer said it sees opportunity at higher price points, particularly in natural diamonds for bridal and fashion.
SourcingSep 09, 2026
Fura Gems Notes ‘Remarkable’ Interest in Larger Rubies at Latest SaleThe auction, held in Bangkok, was 96 percent sold by lot, with nearly 411,000 carats of Mozambiquan rubies sold.
MajorsSep 09, 2026
Stuller’s Latest Catalog Includes Its New Demi-Fine CollectionFine Jewelry 2027-2028 has more than 900 new styles, including silver, gold-filled, gold-plated sterling silver, and vermeil jewelry.
Policies & IssuesSep 09, 2026
8 Key Changes the FTC Made to the Jewelry Guides: A Refresher Learn more about the new terms for lab-grown diamonds and composite gemstones, and the major changes in store for precious metals jewelry.
TrendsSep 08, 2026
Amanda’s Style File: A Hot Take on September’s Birthstone With high durability and a wide range of colors to choose from, sapphires may be the ultimate birthstone, Gizzi claims.
ColumnistsSep 08, 2026
Peter Smith: Humor Is No Laughing MatterLaughter is often considered a distraction in the workplace, but it has benefits for both staff and management, Peter Smith writes.
MajorsSep 08, 2026
Former Tiffany & Co. Exec Joins Exemplar Luxury GroupGretchen Koback Pursel is the new chief people officer at the company formerly known as Saks Global.
IndependentsSep 04, 2026
Orloff Jewelers Will Soon Unveil a Bigger, Better LocationThe California jeweler is renovating its store in Fresno, with plans to show off the new space in December.
CollectionsSep 04, 2026
Chelsea Gabrielle Transforms Pilates Reformer Springs Into Ring A lifelong practitioner of Pilates, Gabrielle looked to the springs’ tension and suspension when creating this ring, our Piece of the Week.
Events & AwardsSep 04, 2026
JCK Industry Fund Accepting 2027 ApplicationsThe deadline to apply is Nov. 13.
AuctionsSep 04, 2026
Christie's Names New Global Head of WatchesThe auction house has promoted Remi Guillemin, formerly its head of watches for the Americas and EMEA, to the role.
EditorsSep 03, 2026
Q&A: Simon G.’s CEO on Why He Won’t Use AI for Jewelry DesignZaven Ghanimian discussed the value of human craftsmanship and where the implementation of artificial intelligence does work.
Events & AwardsSep 03, 2026
Here Are the First Recipients of Nina Pugliese Memorial Scholarship Jewelers of America also revealed the recipients of the Seymour & Evelyn Holtzman Bench Scholarship and its own scholarship programs.
WatchesSep 03, 2026
Robert Pattinson Joins Jaeger-LeCoultre as Brand AmbassadorThe British actor, known for his roles in “Twilight” and “The Odyssey,” will star in a campaign for the Master Control Chronometre.
CollectionsSep 03, 2026
Sydney Evan Celebrates 25 Years With 4 New CollectionsThe “Confetti Disco,” “Champagne Cheers,” “Tuxedo,” and “Classic Punk” jewelry collections each capture a distinct spirit of celebration.
CrimeSep 02, 2026
CA Jeweler Gets 5 Years in ‘Phantom Rolex’ Ponzi SchemeNelson Holdo of Newport Beach pleaded guilty to multiple counts of felony grand theft and writing bad checks and was sentenced Monday.
