Paying Bills...

[kdw75]

Even though our tiny print shop is considered "essential" and we are still operating, our business has dropped by about 75%.

What are others experiencing and how do you plan to pay leases and bills in the coming weeks and months?

 

[SoggyWinter]

The federal CARES stimulus act may provide forgivable operational and payroll loans (essentially grants if you follow the rules) for small businesses. Since my area is looking at a summer without cruiseships, we're brainstorming new business development ideas like pushing sublimation and selling espresso.

 

[kdw75]

I saw where the senate was working on a bill with the federal reserve to declare a bank holiday until this is over.

 

[AP90]

I saw where the senate was working on a bill with the federal reserve to declare a bank holiday until this is over.

Care to share? I haven't read anything on that recently.

 

[kdw75]

At the 17:02 mark in the video below. Wish he said what the bill number was, but maybe it isn't that far along.

 

[AP90]

At the 17:02 mark in the video below. Wish he said what the bill number was, but maybe it isn't that far along.

Pretty interesting. Although What he is saying about withdrawing money isn't quite accurate. Last year I took out 17k cash from my account and the bank was able to give it to me when I walked in and requested it. And this is in a town of 12,000 people. Granted they ran out of 100's lol, but I was able to get my cash.

I don't see it getting to the point of closing the banks. To me, that would be a last ditch effort. Banks closing and no one can get their money = start loading the guns and doing neighborhood patrols with other neighbors.

 

[prwhite]

There is no bank holiday being reported, at this time, by legitimate news outlets (i.e., the NYT, etc.).

 

[gordo]

There is no bank holiday being reported, at this time, by legitimate news outlets (i.e., the NYT, etc.).

This is a good resourc for that kind of info: Calendars and Schedules - Congress.gov Resources

 

[kdw75]

This is a situation that we have no point of reference to look back on, so it breeds fears and doubt. I am not an economist, but I worry about them printing more money until everybody's savings are worthless in an attempt to keep the economy going after this.

 

[gordo]

This is a situation that we have no point of reference to look back on, so it breeds fears and doubt. I am not an economist, but I worry about them printing more money until everybody's savings are worthless in an attempt to keep the economy going after this.

There was the H1N1 in 2008 for one example and the 1918 Spanish flu (which originated in Kansas. I believe that in the US the government goes to the treasury for the mono. The treasury gets its money by borrowing from individuals or other countries like (ironically) China (which holds about 1/3 of the US debt.)

 

[tngcas]

Our business has dropped by 65% in the last two weeks, nearly overnight. We have some savings and are looking into the CARES act provisions. The problem with the loans is most have to be paid back (not withstanding the Paycheck Protection ones). Taking out loans assumes things will eventually get back to semi-normal. I have doubts, our shop is primarily business-to-business and events. If a bunch of our customers go out of business we might see a longer term fallout from this. I'm also wondering how long its going to take for "large events" to make a comeback or if the public is going to be skittish about those for a while. It might take several years before we get back up to our current volume which makes it harder to pay back loans we take out right now to keep things "operating as normal."

These emergency loans are essentially asking business owners to gamble on the economy returning to normal. They aren't a great solution to this problem but I guess if there's any group of people most likely to be willing to bet on the future of America it's going to be business owners.

 

[kdw75]

At the very least we need a city, state and federal tax holiday for the rest of the year. No taxes of any kind.

 

[AP90]

At the very least we need a city, state and federal tax holiday for the rest of the year. No taxes of any kind.

You mean add an enormous amount of debt on top of the already enormous amount of debt we added a few weeks ago, on top of our enormous outstanding national debt? Seems like a good solution. Along with denying all the schools their money due to no income of property taxes. And states not having an income, therefore turning to the federal government for money, who then borrows from the Fed Reserve, who then sells the debt to none other than China.

 

[OffsetStorefront]

Our business has dropped by 65% in the last two weeks, nearly overnight. We have some savings and are looking into the CARES act provisions. The problem with the loans is most have to be paid back (not withstanding the Paycheck Protection ones). Taking out loans assumes things will eventually get back to semi-normal. I have doubts, our shop is primarily business-to-business and events. If a bunch of our customers go out of business we might see a longer term fallout from this. I'm also wondering how long its going to take for "large events" to make a comeback or if the public is going to be skittish about those for a while. It might take several years before we get back up to our current volume which makes it harder to pay back loans we take out right now to keep things "operating as normal."

These emergency loans are essentially asking business owners to gamble on the economy returning to normal. They aren't a great solution to this problem but I guess if there's any group of people most likely to be willing to bet on the future of America it's going to be business owners.

I mean for many businesses their two options are: 1) Close down now because it is definitely bad now and they can't make payroll, or 2) Take the emergency loans and possibly survive long enough to support themselves again when it may not be bad anymore...or close down later if not. Don't have much to loose when you're already going to loose everything.

 

[A&BPat]

My mortgage company agreed to a 3 month pause without interest. Ive requested a 3 month extension on my lease with XEROX but haven't heard back yet. Ive closed to walk in traffic and business is down probably more than 50%. There are some government programs in Canada which will help significantly when they become available.

 

[tngcas]

My mortgage company agreed to a 3 month pause without interest. Ive requested a 3 month extension on my lease with XEROX but haven't heard back yet. Ive closed to walk in traffic and business is down probably more than 50%. There are some government programs in Canada which will help significantly when they become available.

I'd love to know if Xerox is able to do that for you guys. I'm not sure they even have control over it. Our leases through Xerox are actually held through 3rd party banks (Bank of America | US Bank etc) - so I don't know if Xerox is even able to if they want to.

 

[A&BPat]

I'd love to know if Xerox is able to do that for you guys. I'm not sure they even have control over it. Our leases through Xerox are actually held through 3rd party banks (Bank of America | US Bank etc) - so I don't know if Xerox is even able to if they want to.

I have received no response from Xerox at all. So I would assume Xerox isn't doing anything for their lease holders

 

[gordo]

I have received no response from Xerox at all. So I would assume Xerox isn't doing anything for their lease holders

On the contrary they appear to be actively focussed on doing nothing.

 

[kev_24]

We have got some relaxation from vendors, untill this pandemic

 

[A&BPat]

Ok Xerox gave a response last night.
They offered the 3 month deferment of the lease with interest accruing.
My cost would be approximately $1350 for the 3 months.
I passed on that

On the contrary they appear to be actively focussed on doing nothing.