(Updated 27 March 2020, 9am CET)
As I enter my third week working from home, Los Angeles looks as it never has before in most of our lifetimes. With California in complete lockdown it must be said that a lot of the scenes and news streaming from here and around the world is just crazy. But as I got to speaking with customers and friends around the US, I also got thinking that — amidst that constant stream of news and announcements about COVID-19, restrictions and its impact — it can be hard to make sense of the support that is there for businesses like yours, so here’s a quick starter to try and help, writes Planday’s Customer Success Manager for North America, Garrett McHugh.
Being number one in the world is usually something to brag about. But as today’s stats show the US COVID-19 rate has skyrocketed to the most in the world, it’s clear that the health and economic consequences are real, are scary and all are only just starting.
Clients of ours across the US had a good start to the year — and we have already welcomed some big and exciting names from around the country to the Planday family in 2020. But we know this is a really tough time for the hundreds of thousands of people and the businesses they work for — and we want you to know that there’s support for you, no matter what your business does.
We have some tips for businesses like yours in the hospitality, retail, leisure and entertainment sectors to invest now and come out of this crisis even stronger. So head over to The Planday Blog to check out these ideas from our industry experts and see what this means for you.
If your business works across markets, there is also information available for many other countries where Planday can help you, so take a look at what this means in each market on the blog.
First up, make sure you do this
While there is a lot of support and information out there at the moment, it’s critical you read the guidelines and get professional or official advice about what the right steps are for your business. We’re all dealing with the challenges of COVID-19 together, but the impact it has on each business and each person will be different.
But there is help available
This week the Senate passed a $2 trillion package unanimously — called the Coronavirus Aid, Relief and Economic Security (CARES) Act — includes $300 billion in support for businesses, with low-interest loans and access to capital.
1. Low interest loans for businesses
If your business has had a significant impact or downturn as a result of COVID-19, you may qualify for an Economic Injury Disaster Loan of up to $2 million. At times like these, it is essential businesses — no matter their size — manage cash flow and loans with lower interest, which could be an option to help you and the people you employ survive this crisis.
2. Express bridged loans
Maybe your business has had a rapid drop in income and needs a cash boost fast. If you’re running a hospitality or retail business and need to get a cash loan quick, you should consider the Express Bridge Loan Program. It’s faster, there’s less paperwork and your business can get up to $25,000 cash.
3. Federally-guaranteed loans for wages
Loans and cash flow assistance completely backed by the Federal Government are available for businesses to continue to pay wages. If your business maintains its payroll, the loans may be forgiven so you and your people can bounce back stronger.
4. Expanded use for loans
Many of the activities for which you can use funding from a loan have been expanded to include the following:
- Payroll support
- Paid sick leave
- Supply chain disruptions
- Employee salaries
- Mortgage payments
- Other debt obligations
5. Counselling and training for businesses
If your business works with the Small Business Development Center, Women’s Business Center or Minority Business Development Agency’s Minority Business Center, you may qualify for counselling and training to help you and your business get through.
Stay safe. Look after yourself. Look after your people.
We understand that this is a very worrying time for many businesses and people around the world.
This piece is general in nature and should not be taken as professional, legal or qualified advice. Before taking any action at this time, we urge you to read the terms and conditions of each of the relevant agencies and seek your own specific professional advice before making any business decision. All information has been sourced from Government agencies and websites, as well as news and other coverage, and links are contained within.
If you or your business are a Planday customer, our support team is available to assist your business bounce back stronger once this crisis ends.