Hey Small Business Owners...What are you doing to ride the storm out?

[Trivers]

How are you handling HR issues?

Are you applying for SBA loans?
There are several types of loans. And new info is appearing daily.

Capital up to $10MM.
Up to 30 years to repay. Some actually are forgivable.
3.75 to 4%

https://disasterloan.sba.gov/ela/

https://www.inc.com/kevin-j-ryan/sma...incthismorning



My world: Everyone at the software companies are working remotely. The chocolate factory shut down yesterday due to not be considered an essential business. The chocolate elve had already left due to health concerns. I handle all the commercial rentals myself so no impact:

I don't intend to lay-off anybody...if this stretches into June or July...then we may look at cutting salaries by 25 to 50%. With the $1,200 everyone is getting already from the gov, and the 4 month unemployment (+$600/week additional), if we have to do layoffs, then the Team will not be totally without funds.

What are you doing to ride the storm out?

[mililo4cpa]

Originally Posted by SAUTO

im willing to bet you're probably closer on the timeline than mnuchen... he said you should be able to go to your bank end of next week or first of the next and get money same day

I'd tell my clients they're crazy if they think that....for what it's worth.

Rule of thumb: If you think something will take a week, it'll take a month. If you think it will take a month, it will take three. If you think it will take 3 months, it will take a year.....uncanny how often that holds true, particularly when it comes to business transactions....


With that said, they are going to want to get money in the hands of business sooner rather than later, but still mountains of details to work through....

[notorious]

Originally Posted by Mr. Plow

Us small businesses need to stick together to make it through this.

This thread has been a tremendous resource. Thank you, everyone.

[mililo4cpa]

Also, information from various state chambers of commerce. Not certain how useful as of now, likely some good nuggets

https://www.statechambers.org/cv

[LiveSteam]

2nd day back at work. Just the 3 of us out here working on this new house.
Bought a used Colman 3 burner stove the other day.
So were cooking here on site rather than running into town and eating at a fastfood joint..
We're on the banks of the Elkhorn river.
Its beautiful out here. And quiet.
So quiet and peaceful. You'd never know we are in the grips of a pandemic.
Gods Speed people.

[FlaChief58]

With the nature of ous business, we're used to having lulls and thankfully have enough saved up to get us through the next 4 months. We're just hunkered down and praying that things get back to normal soon

[mililo4cpa]

I haven't read this in entirety, but so far, this is very good read regarding the SBA Loan (which I will now refer to Payroll Protection Program or "PPP")

https://www.kelleydrye.com/News-Events/Publications/Client-Advisories/Federal-Relief-Package-Includes-$350-Billion-for-S

[O.city]

So should I go ahead and fill out the application now? This is confusing

[Mr. Plow]

Originally Posted by O.city

So should I go ahead and fill out the application now? This is confusing

I'm waiting until the bill passes to see exactly what it is and what I need to do. I'd rather try to apply for the one that at least a portion doesn't have to be repaid vs. the other. If the first falls through for me, I'll try the next.

[mililo4cpa]

Originally Posted by Mr. Plow

I'm waiting until the bill passes to see exactly what it is and what I need to do. I'd rather try to apply for the one that at least a portion doesn't have to be repaid vs. the other. If the first falls through for me, I'll try the next.

If it were me, and assuming the PPP has to go through a lending institution, I'd be in constant contact with my bank. Since PPP is formula based, it should be relatively easy to calc out the amount you could borrow.

I would also continue down the road of the SBA EIDL.....you don't have to take the funding even if approved, so I would at least continue down that road first.

NOTE: I'm trying to get input on whether an approval of EIDL eliminates options on the PPP.....it's a concern I have.

[O.city]

Originally Posted by mililo4cpa

If it were me, and assuming the PPP has to go through a lending institution, I'd be in constant contact with my bank. Since PPP is formula based, it should be relatively easy to calc out the amount you could borrow.

I would also continue down the road of the SBA EIDL.....you don't have to take the funding even if approved, so I would at least continue down that road first.

NOTE: I'm trying to get input on whether an approval of EIDL eliminates options on the PPP.....it's a concern I have.

I was told you would not be able to do both

[kcclone]

Originally Posted by O.city

I was told you would not be able to do both

Same. It seems like they’re mutually exclusive from what I’ve heard thru a SBA packager as well as an industry webinar

[Trivers]

An SBA rep just told me something very important about the EIDL.

They are so swamped that they have changed their initial documentation requirements.

They have changed the immediate filing of a requested EIDL from 6 docs to fill out and upload to ONLY TWO.

This streamline version enables them to assign a application case number to each submittal. THEN an SBA processor will contact you to ask for additional documentation.

BUT, he stressed, never ever give out that case number. You and the SBA will be the ONLY ones to have it. If you get a phone call, and the person asks you for the case number, YOU ARE BEING SCAMMED.

[Trivers]

Originally Posted by kcclone

Same. It seems like they’re mutually exclusive from what I’ve heard thru a SBA packager as well as an industry webinar

They are exclusive.

SBA states to file for both. You can always turn down the EIDL $$$ if you get the PPP $$$

[eDave]

Originally Posted by scho63

Working my balls off at Amazon - I have 60 hours a week scheduled until April 30th: 40 Regular and 20 OT at double time.

Cash flow getting pretty good.

Wrong thread dude.

[mililo4cpa]

Originally Posted by kcclone

Same. It seems like they’re mutually exclusive from what I’ve heard thru a SBA packager as well as an industry webinar

This is a major question I have: Does an approval on the SBA EIDL negate you from applying For or receiving PPP funding? Because if not, then don't stop the EIDL process, but if so, then a lot of people are going to withdraw their applications (and they should)

Reminder: You don't have to take the EIDL if approved. so why would I stop the EIDL loan application to apply For PPP assuming that you can take a "wait and see approach" with PPP. But if banks come back and say "Nope, you're approved for EIDL, use that", then there will be a lot of pissed off people. And worse yet, what if people withdraw their EIDL apps, then don't qualify or receive PPP funding????

Also, It would be very shitty if the SBA forgave loans for one type of loan, but not the other other, when essentially the loans are for the same thing. But at the same time, how does one know they will or will not actually receive either the PPP or EIDL?

This is why I think money doesn't start flowing for 2 months.....too many unanswered questions as of now.