PHOENIX — Serving up their classic cafecitos for the past eight years, Tres Leches Cafe has been a Phoenix staple.
But what you don't see in their colorful creations is all the hard work it's taken to not only get off the ground but stay afloat.
Nick Ciletti: How hard is it to run a small business right now?
ET Rivera: It's been getting easier but it's still really tough.
When we first met Tres Leches owner Jose "ET" Rivera last October, he was trying to stay upbeat even though his business was facing a wide variety of issues — problems with staffing, the supply chain, and sales that had been slow to pick back up.
Seven months later, we decided to follow up.
"We're still making a profit - just not as much as it could be," explains Rivera. " We still haven't gotten our business back at this location even, I don't know how long it's been. We are going into this year - maybe halfway to three-fourths of the way where we should be."
To cut back on expenses, Rivera says Tres Leches was forced to shut down their in-house bakery.
Ciletti: How hard of a decision was that for you?
Rivera: I think it was the hardest decision I ever made. I cried off and on for two weeks.
Even through the challenges, Rivera says he's grateful his doors have stayed open. He's worked hard, had the support of his community, and got two Paycheck Protection Program (PPP) loans from the Small Business Administration (SBA) that were later forgiven.
In Arizona, nearly 170,000 businesses received PPP loans, totaling close to $12.5 billion in federal aid.
Rivera says those PPP loans were a lifeline, but says his businesses need more support.
"It wasn't enough for what was happening. I know it's not their fault of all the craziness that happened that caused businesses to go into debt or close - we came pretty close to that a few times - so the money most definitely helped out, but it wasn't enough to get us out of debt after we re-opened because there was still debt being accumulated."
ABC15 took his concerns to the head of the SBA, Isabella Casillas Guzman, who was in the Valley recently meeting with Latino business leaders.
Ciletti: I caught up with the owner - he says things are getting better but his recovery is a little bit slower than he would like. He'd like to see more people return and have those profits go up. What other things can the SBA do to help small businesses like Tres Leches?
Guzman: Many of our hard-hit industries are still challenged with lower revenues or they are still trying to navigate the debt they took on. The SBA is about trying to provide affordable capital. First and foremost, if businesses need an affordable capital option, whether that's refinancing or some growth capital.
Guzman tells ABC15, at this time, there are no plans to forgive any more debt as part of COVID relief packages. Instead, the SBA is trying to find innovative ways to help businesses build back.
"Really, we want to try and provide the assistance that small businesses need to strengthen their efficiencies in their operations or grow their revenues, which of course is critical during this time," says Guzman. "That can be done using digital tools, the social media tools. We've launched a small business digital alliance to get over 300 digital tools in the hands of small business owners that can better attract and succeed."
Rivera knows the road ahead may still be bumpy, but inside each of these cups, there is a little bit of hope that keeps him moving forward.
"I'm still pushing for the dream and I don't want the pandemic or anything else to take away what I worked so hard at trying to achieve," Rivera told us in October.
For more information on the resources that SBA provides to small businesses, head to the SBA website.
