Story by Noelle Harff via UNC Media Hub
Photos by Chrissy Wang
MARION, North Carolina — When Hurricane Helene tore through the Blue Ridge Mountains of North Carolina, Pat and Charlie Gowan didn’t think twice about staying. The family, who had lived in their home for two generations and run Triple C Campground, had weathered plenty of storms. But no one expected anything quite like this.
Buck Creek near the Gowan’s home and business rose to a record-breaking 21.44 feet, almost 20 feet over its usual depth.
They wedged beach towels under the door to stop the water, but within 30 minutes, they found themselves wading through the house, lifting furniture in a desperate attempt to salvage what they could.
Soon inches turned to feet. Pat, Charlie, and their 15-year-old daughter, Elizabeth Gowan, escaped out the back window. Minutes later, they watched everything wash away.
Charlie Gowan stood near what used to be their front porch. “It’s all gone,” he said.
The devastation was immediate, but the path to rebuilding would be far more uncertain. For small business owners across Appalachia, the storm did more than destroy property; it decimated the local economy.
Despite the traditional support systems—FEMA, insurance, and even SBA loans— small business owners affected by Helene face a gap in coverage. Caught between inadequate assistance and the looming risk of insurmountable debt, these business owners find themselves between survival and collapse.
Amid Recovery, FEMA falls short
Small businesses employ nearly half of all North Carolinians and FEMA reports that over 40% of small businesses affected by a large-scale disaster never reopen. Another 29% close within two years.
“It’s bust or bust,” said restaurant owner Jon Hartman, who is committed to reopening, knowing his decision impacts not only his livelihood but that of his 60 employees.
Hartman and his wife, Jenn, own and operate J Hartman’s, where their daughters also work—Mckenzie, 22, full-time, and Ally, 16, when she’s not in school. Their youngest son, Jon Henry, 8, doesn’t help run the restaurant but often runs around it.
In 2010, the Hartmans bought Holly’s Deli, a small sandwich shop in Marion, North Carolina. Soon, they started serving steak and people stayed for dinner.
It wasn’t long until Holly’s turned into J Hartman’s. Their staff grew from 6 to more than 60 employees. In 2020, they upgraded from a 2,000-square-foot shop to a 6,000-square-foot sit-down steak house, regularly “filling the restaurant two to three times over,” Hartman said.
In their first year, they sold $300,000. Last year, revenue grew 10 times that to almost $3 million.
Still, rebuilding will take more than the family can manage alone.
According to the Insurance Information Institute, flooding is the most frequent and expensive natural disaster in the U.S., meanwhile, only 10% of Americans are covered for flooding.
“I wasn’t even thinking the water would get this high,” Hartman said, looking at drone images of his restaurant underwater. Inside, murky water pooled two feet deep in places, leaving the dining space unrecognizable.
Mud coated every surface, while booths and furniture floated out of place, “We’re going to replace all of our bar stools and chairs. All the floors must be replaced. We’ve got to take all the walls out, all the sheetrock,” Hartman went on, surveying the damage.
The storm took $40,000 worth of inventory alone. “Insurance didn’t help, FEMA is not really doing anything. Landlords? No… and I’m not poor-mouthing, I’m just telling you. That’s just the way it is,” Hartman said.
FEMA arrived in western North Carolina a few days after the storm, offering financial assistance to those who lost their homes. FEMA also provides disaster unemployment benefits, compensating for loss of income.
Every employee on J Hartman’s payroll has filed for FEMA Disaster Unemployment Assistance. However, as of Oct. 24, almost a month after the storm, many have yet to receive benefits.
“I think they’re still deciding whether or not it is considered a disaster… they have to go through to approve that,” said Carli Cook, 22-year-old waitress and one of Hartman’s first employees.
So far, Cook has received an initial check from FEMA but is awaiting full benefits, “Unemployment has been a beast to tackle,” Cook described the difficulty of applying for assistance, “I’ve heard that from multiple people.”
Three days after Hurricane Helene, FEMA officials, Gov. Roy Cooper, and U.S. Rep Chuck Edwards, R-Henderson, spoke in Asheville. “FEMA’s response has been far from perfect,” Edwards said, “but the Disaster Survivor Assistance teams and Disaster Recovery Centers are showing up.”
Darrell Habisch, a FEMA representative, said that after survivors apply for disaster assistance, they will be contacted by a FEMA inspector within 10 days to schedule an appointment. “We are working as efficiently and quickly as possible to serve those affected,” Habisch said.
SBA Loans: A Risky Gamble
Without money to rebuild from FEMA or insurance, small business owners are directed to the Small Business Administration for emergency loans granted by the federal government.
“We’re talking millions of dollars, not thousands, millions. It’s a big decision,” Pat Gowan said.
Triple C will need a new sewer system, new water lines, and reinstated power throughout the campground.
“I don’t want to pass that debt onto my children,” Charlie Gowan said.
The Small Business Administration is offering emergency loans at 4% interest for businesses that have proven they can’t get credit elsewhere.
However, many of these governmental disaster relief loans are priced above market value, with rates as high as 8% and repayment windows as short as seven years, according to the SBA database.
For Hartman, an SBA loan isn’t an option. “If you start getting into $200,000 loans at 8% interest, that’s a lot,” he said.
An SBA loan of this size would cost $16,000 in interest alone to repay.
“We’re really trying not to take out a loan,” Hartman said.
Of those who applied for SBA loans, only a fraction have been offered credit. As of Oct. 24, out of almost 6,000 applicants, just over 2% of small business owners were offered credit. 60% of those who were offered credit took out SBA loans.
SBA Administrator Isael Casillas Guzman went to Asheville in early October to speak with small business owners. “I think it’s just about calculating what works for you,” Guzman told the Asheville Watchdog, noting the first year is interest-free.
Though, funds were quick to run out. On Oct. 15, the SBA announced that the disaster relief funds were now exhausted.
“While we await Congress to provide much-needed funding, we strongly encourage eligible businesses and households to apply for SBA disaster loans,” Guzman said, referring to a backlog that will remain unresolved until Congress returns in November.
Small businesses in North Carolina affected by Helene have received $2.25 million from emergency relief loans according to the SBA database. Meanwhile, Sharon Gadbois, representative of the SBA said no grants or non-repayable aid for businesses have been identified.
Insurance: A Broken System
In the wake of Hurricane Helene, HealthRidge Pharmacy was one of the first businesses to open its doors in McDowell County. Running on a generator and overwhelmed by demand, Healthridge had been sponsoring the medication, sometimes at no cost.
Joanna Munroe and Taylor Wade are husband and wife owners of HealthRidge. After the storm, these business owners acted as first responders.
“We had a trauma doctor from Garren Creek coming by daily for antibiotics, UTI Medication, Insulin, you name it,” Munroe said, describing how donkeys would help carry medical supplies through mudslides to access survivors. “We weren’t filling patient-specific prescriptions, just whatever they need.”
The pharmacy didn’t suffer much physical damage, so despite their losses, it’s unlikely they will qualify for any benefits.
“Insurance companies are the devil,” Munroe joked as she scanned backlogged pill bottles, hoping to secure coverage for the emergency medication she’d given away.
“I didn’t get a nickel from my insurance company,” Hartman said, “I have yet to meet someone who does.”
In McDowell County, only 3% of residents hold flood insurance policies, according to The National Flood Insurance Program (NFIP), leaving most without financial protection after disasters like Hurricane Helene.
“I don’t know what kind of insurance we have, I don’t keep up with it, we just pay the bills,” Hartman said, “but I’ll pay attention to it now.”
NFIP reports that 90% of all natural disasters in the country involve flooding. But, flood insurance is often left out of standard insurance policies. If someone wants flood insurance, they need to opt-in to an additional policy.
Munroe and Taylor started a GoFundMe to cover the cost of some of the emergency medications.
“We support the community, and the community supports us,” Munroe said.
Community Support: The Only Lifeline
With federal aid running dry and loans presenting more risks than solutions, many small businesses are rebuilding with help from their local customers and congregation.
“People have truly taken care of us,” Pat Gowan said, her voice cracking. “And I’ve probably cried more about that than losing everything.”
Churches and community centers have come together, providing food, water, and shelter. First responders and military personnel from across the country are sleeping in tents and cots, waking up at dawn to help those still trapped in their homes.
“We’ve had people stop by and just hand us money,” Hartman said, “One local church gave us a check for $5,000, and another friend hosted a hot dog fundraiser that brought in over $4,000.”
It wasn’t just financial help, either.
Hartman’s didn’t have to hire a construction crew. “We’ve got customers who are electricians, we’ve got customers who are carpenters,” Cook said. She and her co-workers go to the restaurant almost daily, not for a paycheck, but for “a sense of normalcy.”
For now, the focus is on getting the doors open as soon as possible. “We’re hoping to be back in four weeks,” Hartman said. “It’s not just about the business—it’s about getting our employees back to work and serving the community again.”
In this mountain town, self-sufficiency runs deep. Many residents, like Cook, grew up learning to can their own food and stock emergency supplies without a second thought. “That’s just how we were raised,” she said, “When we see a neighbor in need, we take our chainsaws to help clear their yard or share our stockpiled water. ‘Help thy neighbor’ is just how we live.”
