Restaurant Closure: How the Pandemic Hit Smitty's Hard | Business Lessons (2026)

The recent closure of Smitty's Restaurants, a beloved local business, has sparked a heated debate about the impact of the pandemic on Canadian businesses. MP Clifford Small, a business owner himself, is at the forefront of this discussion, arguing that the pandemic and public health measures have been the downfall of his restaurant chain. With a heavy heart, Small acknowledges the closure of his two Smitty's Restaurant locations, laying off 35 employees and leaving a trail of unpaid rent and back taxes.

Small's perspective is one of deep regret and frustration. He reveals that the company's finances were stretched to their limits, with employees being paid with the 'very last nickel in the company' and $20,000 worth of perishables donated to a local outreach organization. This grim reality highlights the immense challenges faced by businesses during the pandemic.

At the heart of Small's argument is a critique of how the pandemic was handled. He points to the United States as a stark contrast, claiming that their economy 'bounced out of the pandemic so much faster than we did.' This comparison is intriguing, as it suggests a potential link between economic recovery and pandemic response strategies.

However, the story doesn't end there. The City of Mount Pearl has filed a lawsuit, seeking back taxes owed on the Smitty's property. This legal action adds a layer of complexity to the narrative, raising questions about the responsibilities of businesses and local governments during economic downturns.

In my opinion, this case serves as a microcosm of the broader struggles faced by Canadian businesses during the pandemic. It highlights the delicate balance between survival and compliance with public health measures. While Small's frustration is understandable, it also underscores the need for a nuanced approach to economic recovery, one that considers the unique challenges of each business and community.

As we reflect on this story, it prompts us to consider the long-term implications of pandemic response strategies. What does it mean for businesses to 'bounce back' from a crisis? How can we support them in ways that foster resilience and sustainability? These questions are crucial as we navigate the ongoing impact of the pandemic and strive to build a more resilient economy.

Restaurant Closure: How the Pandemic Hit Smitty's Hard | Business Lessons (2026)

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