For Dionis Fernandez, owner of the Evans-based Big Bore Mobile Wash, business has not been going as smoothly as it had been last year.
“Materials are getting more expensive,” said Fernandez. “People are more hesitant to get any work done right now.”
His business uses gas for vehicles and pressure washers as well as paint products, which contain oil.
“The Sherwin Williams paint that used to be the least expensive has gone up,” he said.
Fernandez is not alone. Last week, the U.S. Bureau of Labor Statistics released the Consumer Price Index for August, showing an increase of 0.1% for all urban consumers, as well as increases in the food, electricity and natural gas indexes.
“I’m having to go up on prices because of the gas price,” said Sarah Lawver, owner of Affordable Cleaning, LLC, a home and commercial cleaning service that operates in both Columbia and Richmond Counties. “I have employees. I have to pay them more, depending on where each job is.”
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A recent survey by Goldman Sachs revealed that 89% of U.S. business owners say that economic trends such as inflation and supply chain issues have had negative impact on their business, and 65% have increased the prices of their goods or labor.
According to the National Statistics Office of Georgia, the annual inflation rate in Georgia slowed to 10.5% in August, a decrease from 11.5% July, which itself had been a decrease from June.
But Erik Randolph, director of research at the Georgia Center for Opportunity nonprofit, noted in a statement released in August that even though Georgia’s consumer price index decreased slightly over the summer, it has not proven a relief to most spenders and vendors.
“Just to keep this in perspective, the price level nonetheless increased 14.1% since the start of the pandemic,” Randolph said. “But there is no need to tell this to average consumers who have been feeling it in their pocketbooks.”
Augusta area entrepreneurs, such as Alea and Ronnie Garvin, the owners of dessert shop Whipped Creamery, have been no strangers to the burden that inflation rates have been on both their own wallets and those of their consumers.
“Customers get frustrated because you have to go up on prices,” said Ronnie Garvin. “They’re used to paying three dollars for a scoop of ice cream, now it’s four dollars. Depending on where you go, sometimes it’s more.”
Fernandez, Lawver and the Garvins all noticed their troubles with the rise in prices building over the last six to eight months.
Alea Garvin started having difficulty obtaining inventory, and when she could find items, their prices had doubled. Lawver estimates that she’ll have to raise the rates for commercial cleaning again in 2023.
Fernandez had observed some worry growing in spring, close to the time of the Masters Tournament. Big Bore uses a lot of diesel fuel, he said, and the rise in diesel prices ultimately led to less business.
“By the end of the month of the Masters, we had quite a few people start canceling work,” he said. “And right now, more than in the summertime, we’ve slowly started getting more work canceled because of the inflation.”
The Garvins have sought creative ways to avoid pushing the rising costs to the customers as much as possible, looking for small ways to make price adjustments or minimize the cost of goods.
They’ve adjusted their shop’s hours, keeping Whipped Creamery open seven days a week, from 1 p.m. to 8 p.m. They also started operating the food truck year-round, said Alea Garvin, “unbothered by the weather,” pivoting efforts to further the already-busy catering side of the business, including indoor private and corporate events.
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Fernandez, likewise, has resisted the adverse effects of inflation by offering specials of 30% off, trying to get as much work done in a day as possible.
“We’re coming out at 6 o’clock in the morning to work and coming back somewhere about 7 or 8 o’clock in the night,” Fernandez said. “So that we can get at least two or three jobs done during the day, but at the same time and I can keep the guys already have employed.”
The entrepreneurs also underscore prioritizing their workers. Fernandez noted the higher cost of feeding a crew at McDonald’s for lunch.
Lawver is adjusting to the spikes in both gas and cleaning supplies by focusing more on commercial rather than residential clients, as they tend to be able to afford the rate increases. Lawver, who has been in business for 18 years, doesn’t plan on stopping, but she also doesn’t plan on shorting her staff.
“You’ve got to find a way to balance out your income, so you could be able to keep your business afloat,” Lawver said. “My main concern is my workers. I want to make sure that they are getting a decent wage. And that’s, you know, the reason why I had to go up several times this year. You’ve got to look out for your workers because they are helping you as well.”
Whipped Creamery has locations at 514 Oxbow Dr. in Grovetown, and 353 Furys Ferry Rd. in Martinez. For more information, visit https://www.facebook.com/WhippedCreamerytreats. For more information on Big Bore Mobile Wash, visit its website at www.bigboremobilewash.com.
Skyler Q. Andrews is a staff reporter covering business for The Augusta Press. Reach him at skyler@theaugustapress.com.
