11/04/2024
Goodbye Cahawba House
By Gary Essary (the dad)
Saying goodbye is hard to do…especially after 8 years…but it’s time to say goodbye to our family’s Cahawba House. Instead of a simple goodbye, I wanted to share a bit of my story…because as I watch small and large businesses close…I always wonder why? Is it because of the same struggles I face? I see comments of support, ridicule, judgement, etc from strangers with a keyboard offering to explain the reason.
So, if you’re curious…I’ll tell my story.
Cahawba House was a dream come true for my daughter and son. Eight years ago, Tara and Tim created this wonderful family restaurant from scratch with a lot of hard work and hustle. I remember how committed they were to a downtown Montgomery location…dismissing other options…to be a part of building the downtown market for Montgomery. So they did…for three years they grew. They grew so much…they began building a new second business…The Statesman Craft Cocktail Bar a few doors down.
Most would assume it was the pandemic that started the downfall all. But, for us the US Department of Labor had spent the months leading up to the pandemic, investigating our family business. I didn’t know, but evidently disgruntled employees can make claims against owners…and the government pays them for it. Tara spent weeks documenting every paycheck that went out to our employees and proved their accusations were wrong, because they all were paid above minimum wage. This proof was presented to the Department of Labor investigators. They explained that there was an obscure 9th circuit court ruling that stated that the person running the credit card was conducting an out of state transaction therefore we paid them from the wrong column and could be fined several hundred thousand dollars. They refused to provide me the documents to substantiate this ruling so I hired an expensive labor attorney to inquire on my behalf. He met with the US Labor Department Investigators and returned to inform me that I could accept a $40,000 fine and not complain or they would destroy my family with fines and added fees. I sold Tristan’s house in Tuscaloosa before he could finish collage…and paid them.
And then the real chaos occurred as the pandemic started…or really the the affects restrictions from political leader’s decisions. I made the mistake of fighting on…believing what the government leaders were saying. I should have closed (take note young business people!). I followed the rules…everyone but me was paid from the PPP loans. The employees, landlord, utilities, grocery stores continue to be paid through the pandemic. I think this insulated many in our community as to the damage being done to our economy. When that money ran out…I got a $150,000 loan from the Small Business Administration (note: never do business with the SBA) to continue paying everyone…but me. I’m sure 1,000s of small businesses did the same. BUT WE NEVER WENT BACK TO NORMAL As PROMISED. Food costs, rent, insurance, wages, etc went up and stayed. Millions left the work force and did not return. I know there are industries that made money during COVID restrictions…but the hospitality industry suffered greatly.
The last five years have really taking a toll on my family. Tim became discouraged and moved away to pursue other business ventures. Tara worked hard to maintain three hospitality businesses in the Montgomery downtown market to the point of exhaustion with little to no pay. I retired from teaching to help…but find that my pension is being used to keep afloat a once thriving business in a market now depressed.
I have no more to give. I have given for 5 years…waiting to return to normal. I must relinquish my hope and acknowledge the facts. I’m over $200,000 in debt and I don’t have faith anymore. I no longer trust or have confidence in the people running my governments and institutions at all levels. And, I’m not sure that I will regain it within my lifetime.
I plan to sell off equipment and furniture in the coming days to pay off local debts first. Then spend the rest of my life making payments to the Small Business Administration (young people…beware!).
And so my family’s Cahawba House says goodbye to Montgomery.
(A picture of Tara and Tim 8 years ago on opening week!)
