Companies have someday left to get approval for loans from the $134 billion remaining within the federal Paycheck Safety Program. Now that it’s winding down, some companies are getting their purposes in on the final minute.
Again in April, a PPP loan gave the impression of a lifesaver to Richard Marks. He runs an expert coaching firm referred to as RDM Administration Group, a enterprise constructed on face-to-face conferences that haven’t been occurring.
However Marks doesn’t have any staff. So from the outset, he wasn’t certain whether or not he was eligible for a loan.
“My interpretation was that I had to have employees on a payroll in order to apply for PPP,” Marks stated.
About two weeks in the past, Marks heard from one other enterprise proprietor with no staff who acquired a PPP loan. So Marks utilized, and the Small Enterprise Administration authorized his software this previous Friday. He’s relieved however needs he’d recognized sooner that he was eligible.
“If you’re not plugged in, if you don’t know what you don’t know, you end up missing out,” Marks stated.
Some enterprise house owners are resubmitting purposes on the final minute, regardless that they’ve been attempting from the start.
“I was just like checking my email,” stated Holly Dreeuws, who co-owns Waterline Swimming pools and Spas in San Diego. “I’ve never checked my email as much in my life. Constantly checking to see if I got anything.”
She was rejected 4 occasions earlier than lastly submitting a profitable software. As soon as as a result of the primary spherical of PPP cash ran out. One other bank stated she couldn’t apply with out an present account.
After some time, Dreeuws stated, she gave up hope. She was even desirous about taking out a private loan to maintain her enterprise operating.
However final week, she utilized via a brand new bank and bought authorized.
“My husband and I were ecstatic. Ecstatic!” Dreeuws stated. “It’s been a very stressful few weeks for us, financially.”
Not everybody’s fairly there but. Sherard Duvall, president and CEO of OTR Media Group, a media manufacturing firm in South Carolina, has utilized to seven lenders for a PPP loan with out luck up to now.
“It’s been a three-month slog and struggle,” Duvall stated. “Frustrating is probably the best word to describe it. Upsetting, really.”
One bank did approve an software that Duvall submitted a few weeks in the past, however he nonetheless hasn’t heard whether or not the SBA has authorized it. He utilized via one other lender final week, but it surely’s asking for extra paperwork.
“It looks like I’m going to be down to the wire,” Duvall stated.
Duvall stated the PPP cash would assist him pay staff, utility payments, hire and invoices he nonetheless hasn’t paid. However at this level, he has little or no confidence that he’ll obtain any help.
Will the federal authorities lengthen the additional COVID-19 unemployment advantages?
It’s nonetheless unclear. Congress and President Donald Trump are deciding whether or not to increase the additional $600 per week in unemployment advantages employees are getting due to the pandemic. Labor Secretary Eugene Scalia believes this system shouldn’t be prolonged, and White Home financial adviser Larry Kudlow stated the extra cash is disincentivizing some employees from returning to their jobs. Democrats wish to hold offering the cash till January.
As states raise restrictions, are individuals going again to shops and eating places?
States have relaxed their restrictions, and many people have relaxed, too. Some individuals have began to make exceptions for visiting eating places, if just for out of doors eating. Some are solely going to locations they belief are being further cautious. However nobody we’ve talked to has actually gone again to regular. Folks simply aren’t fairly there but.
Will surges in COVID-19 circumstances imply a return to lockdowns?
In lots of areas the place companies are reopening, circumstances of COVID-19 are trending upwards, inflicting some to ask if the lockdowns have been lifted too quickly, and if residents and companies may need to undergo all of it once more. So, how doubtless is one other lockdown, of some kind? The reply relies on who you ask. Many native officers are actually bullish about protecting companies open to salvage their economies. Well being specialists, although, are involved.
You will discover solutions to extra questions right here.
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