No one could’ve anticipated the impact of Coronavirus.
While there’ve been talks before of an eventual disease that could shake things up, no one was exactly prepared for what COVID-19 brought to the table. As many are left in a panic right now over what to do financially, we’ve studied a few options that can help bring you a little bit more sustainability and level-ground. Here’s what we would suggest to help ease the process of getting back on your feet:
Reconcile your books.
Knowing what you can do in the future means knowing where you stand now, which is why reconciling your books is always a good first step. With the slowdown, it’s a great time to see where you’re at and what expenses can be cut moving forward, as well as what types of value you might be able to see out of different numbers. Take the time to hash out the numbers you need to consider for bringing your business up to speed, giving you an action plan for what can be done to improve from here.
If necessary, file for unemployment.
Depending on your current employment status, filing for unemployment from any job you may have been let go of is a must. Upon approval by your state, The CARES Act does give a $600 per week insurance payment to help keep you afloat. Although it can be hectic getting through the lines, the end bonus of having a steady check is well worth it.
[The PPP] is a forgivable loan for business owners that can alleviate primarily payroll costs and other business expenses as well.
Apply for the Paycheck Protection Program (PPP).
If you’re not traditionally employed as a business owner or are self-employed, then the other great option from The CARES Act is The Payment Protection Program, or PPP for short. If you’re not familiar, this is a forgivable loan for business owners that can alleviate primarily payroll costs and other business expenses as well. Here’s how it works:
The loan is maxed out at $100,000. To calculate your eligibility an approved SBA lender will calculate from your tax return a monthly average income, then multiply it by 2.5x. That amount will be stretched over two months, which as long as you pay predominantly towards payroll, will be forgiven. The Treasury Department does note that other expenses like rent and utilities might only be partially covered, which you can read more about in their letter here.
Start deciding what can be done remotely.
With businesses having to adapt to not having employees come in the office, many are starting to establish more remote operations. This has led to a lot of positions opening up for remote work, primarily in fields like administrative skills, customer service, and content. Depending on what type of skillsets you might have, there could be an opportunity for you. Check around on some remote working sites such as We Work Remotely, NoDesk, Remote Ok, Remotive, or Remote.co for a few different options, as well as a major Fortune500 employer like CapitalOne that could be suited for your career. Who knows? You might love the change of pace even after the Coronavirus situation has settled.
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