You are a member of the club that is the true engine of the economy. Collectively you employ most of the workers and purchase most of the capital equipment larger businesses produce. There is no economy without you. Yet at this moment there is a sense of anxiety not felt since the great recession, and you can’t even keep your doors open to serve any customers or reach out to find new ones. Loyal devoted employees who are like family are frightened and looking to you to provide comfort and security. How are you going to cope with an invisible enemy that has placed you and your family’s future in jeopardy?
Anybody that is there to tell you that things will work out just fine by being patient, is not helping you survive. You need more. As a small business owner myself, I can appreciate your situation like so many others. There are steps that, if you haven’t already taken you need to do so immediately. Procrastination is not an option.
First, reach out to your CPA to understand your current tax position in light of the new rules in place. Tax payments that can be delayed can preserve funds that may be needed to get to the other side of this pandemic. Be certain you are taking advantage of every tax saving opportunity. If you have a bookkeeper go over all of your bills and obligations. Find out what expenses are currently not occurring during the shutdown period. Review what your periodic obligations are, and contact your lenders and those to whom you make periodic payments to, so you can know with certainty what policies they have in place for payment deferral options to a time when the world returns to normal. This includes your landlord, utilities and anybody you can think of. You must protect your credit scores, but many lenders have been given monetary support from the Fed and well as the most recent stimulus package by Congress. These programs were meant for you!
Once you’ve determined what must be paid, what the current spending levels are at, and what obligations can be deferred, you need to speak with a good financial or wealth advisor to create a plan. Know how you can have your assets work for you, what may be an appropriate amount of debt to carry and what will be needed to help you get through the current economic situation.
Lastly a good wealth advisor will work with good lenders who can go through with you all of the new and existing lending programs available to help you. Borrowing rates are very low right now, and underwriting standards have been relaxed to help you qualify. The SBA has programs for payroll support and for disaster relief including the effects from COVID-19. There also business development program loans, and many programs are available even if you have an existing SBA loan. We can recommend some very good lenders who are eager to help you access the right programs for your business.
You can survive this and you will thrive in the future. Inertia is not an option, and there is help and support for you so please reach out to us, and we will be there for you.
Please reach out to us at 480.346.1282 or hello@modernizewealth.com if you have questions or just want to discuss further.
