How to Determine If You’re an Essential Business

How to Determine If You’re an Essential Business

If you own a business and it isn’t essential, your business is subject to many regulations that can prevent you from earning money.

When the COVID-19 outbreak began, many states required people to stay at home unless they worked at essential businesses. In response to this, owners around the country started asking, “Is my business essential?”

Knowing whether you have an essential business can offer you many benefits. Aside from that, you’ll avoid various restrictions to continue maximizing profits. We’ll help you by outlining several essential business qualifications.

Read on to learn how to determine if your business is essential.

What Is an Essential Business?

Essential businesses are some of the most important because they offer various necessary services. For public health and safety. When the US government determines a business is essential, they can continue working when people must stay home.

While essential businesses can continue operating, it’s best to place several policies. For example, they can reduce hours and encourage social distancing to prevent employees from getting sick.

Knowing whether your business is essential will help you develop a plan for operating. Aside from that, you’ll have an easier time qualifying for things like an employee retention credit, which can be viewed at

What Do Essential Businesses Offer?

An essential business can offer many things. Some of the main industries that come to mind are health care, food supply chain, transportation, and financial services.

If a business provides something that isn’t entertainment or cosmetic, there’s a good chance they’re essential. Things like libraries, casinos, movie theaters and bars are all non-essential businesses.

How to Determine If Your Business Is Essential

Although this can seem straightforward, you should research local regulations. This will help you get a better idea of whether your business is essential.

Some businesses can be considered essential in one area and non-essential in another. A liquor store is a great example of this. Liquor stores are considered essential in New York and non-essential in Pennsylvania.

If your business is non-essential, you may still be able to operate. However, you must do so in a way that keeps others safe. For example, if you’re a fitness instructor, you can coach people through video calls.

Knowing the differences between essential vs non-essential business will help you stay safe during dangerous times.

Now You Can Start Preparing Your Business

As you can see, it isn’t hard to understand what an essential business is. Now that you have this info, you’ll have no problem creating an emergency plan for your business.

Whether your business is essential or non-essential, ensure you’ll know what to do if something like a pandemic starts again. Keep in mind that you may continue to operate if your business is non-essential. Yet, you’d need to change the way you do things.

Learn more about the CARES Act and other business topics by checking out the rest of our blog.

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