Mnuchin hopes instructions for small business loans will be released Monday | TheHill - The Hill

Mnuchin hopes instructions for small business loans will be released Monday | TheHill - The Hill


Mnuchin hopes instructions for small business loans will be released Monday | TheHill - The Hill

Posted: 30 Mar 2020 08:12 AM PDT

Treasury Secretary Steven MnuchinSteven Terner MnuchinTrump floats restoring full corporate tax deduction for meals as coronavirus derails restaurants Mnuchin emerges as key asset in Trump's war against coronavirus Sunday shows - New coronavirus projections, quarantine talk dominate MORE on Monday said he hopes that the administration will release documents and instructions later in the day covering how small businesses can apply for loans created by the coronavirus relief package President TrumpDonald John TrumpHealth insurers Cigna, Humana waive out-of-pocket costs for coronavirus treatment Puerto Rico needs more federal help to combat COVID-19 Fauci says April 30 extension is 'a wise and prudent decision' MORE signed on Friday.

In a phone interview with Fox Business Network, Mnuchin said that the process for obtaining the loans will be "very simple," and that small-business owners will be able to go to existing Small Business Administration lenders as well as banks, credit unions and financial technology lenders to apply.

"We expect this will be very, very easy," Mnuchin said. 

ADVERTISEMENT

The Treasury secretary also reiterated he expects that the loans to be available starting on Friday.

The new coronavirus relief law creates a $350 billion program that allows small business owners to apply for loans that would be forgiven if they hire or retain their workers. The loans are designed to cover eight weeks of a business's payroll, and a business can receive a loan of up to $10 million under the program.

Mnuchin told Fox Business that the loans should be able to cover about 50 percent of the private workforce.

"This is a very effective way that the president has designed for us to keep people at work so that when the economy opens up, they're ready, and small businesses have their employees and are open for business," he said.

Mnuchin also said the administration will ask Congress for additional funds if the program proves to be popular and funds for it run out.

City accepting applications for small business relief program - QNS.com

Posted: 30 Mar 2020 07:00 AM PDT

Small businesses across the borough have been hammered by restrictions due to the coronavirus pandemic and the city announced Friday that loans are available to provide economic relief.

The Small Business Continuity Fund offers financial assistance to small businesses across the five boroughs as they deal with various challenges in response to the COVID-19 crisis.

"Our small businesses are the bedrock of our neighborhoods, they make New York City what it is. That is why we are doing everything possible to help them through this difficult time," Mayor Bill de Blasio said. "New Yorkers will always stick together in times of crisis, and this partnership exemplifies just that."

The investment is a public-private partnership between Goldman Sachs 10,000 Small Businesses, Tapestry, Inc.'s Coach Foundation, and Pursuit to provide loans to New York City's small businesses affected by the emergency. Goldman Sachs Foundation will provide a grant to support technical assistance and capacity building for the Small Business Continuity Fund.

"The city is committed to making sure small businesses have the resources they need to stay open during this time," Department of Small Business Services Commissioner Gregg Bishop said. "As the situation continues to evolve, we will hear from our small businesses and make the necessary changes to address the challenges that they are facing. This partnership represents a step in the right direction as city and private companies come together to assist this community."

Small businesses have begun applying for relief and can access the application here.

"This is an incredibly challenging time for small businesses across the city and it's critical that the public and private sectors come together to provide meaningful support," NYCEDC President and CEO James Patchett said. "This investment will help assist numerous small businesses who have been impacted by COVID-19. It is an important first step to help this community and the city to recover."

Goldman Sach has a proven track record supporting entrepreneurs through its 10,000 Small Businesses program, an investment to help small business owners create jobs and economic opportunity.

"Goldman Sachs is acutely aware of the responsibility small business owners feel to their employees, communities and families," Goldman Sachs Chairman and CEO David M. Solomon said. "Nowhere is that more true than the City of New York, whose small businesses are the lifeblood of our communities, they are our child care centers, our bakeries, our corner stores. We are proud that the Mayor is taking this immediate action and gratified we can offer our experience and expertise to help New York City businesses during this unprecedented crisis."

Think And Grow Big: 13 Small Business Experts Share Strategies For Maximum Growth - Forbes

Posted: 30 Mar 2020 08:43 AM PDT

Want to improve the odds that your small business goes big? Don't feel you have to go it alone. Small Business Development Center (SBDC) consultants and advisors provide free consulting to help small business owners start or expand their businesses.

This month, America's SBDC—which is composed of some 1,000 centers nationwide— celebrates forty years of helping small businesses grow, and the results are impressive.

Last year, SBDCs helped small business owners:

  • Create 99,194 new jobs
  • Generate $7 billion in sales
  • Create a new business every 32 minutes

As a result of their work with thousands of small business owners, they have unique insights into what it takes to succeed. Here, 13 SBDC pros share strategies for helping your small business think—and grow—big.

1. Don't try to give birth to an adult

"You don't expect a baby to perform or respond as a college graduate. Just like rearing a child, businesses are born, reared, evolve, and mature. You don't start the business and expect mega-success overnight. That path usually leads to disaster or collapse. What we think the experience and effort is going to be when we start—and what it actually is—are worlds apart.

"We start the business and end up making it up as we go along, learning and adjusting, and just when we think we have it down (or mastered the age group), the game changes and we have to adapt and learn and lead again. We lead but we learn, too. The business, the customers, the market, all teach us what we need to know. Business owners who stay very present, patient, observant, and nurturing, taking the slow path and keeping careful pace with the business (their baby) as it matures through stages, like us, ultimately reduce the level of their risks and grow the business more securely to big over time."

—Lorraine Allen, consultant and former Regional Director, Small Business Development Center at The College of New Jersey

2. Get connected

"Network with anyone and everyone in your region and industry. Establish solid connections and maintain those relationships. Choose 20 to 30 individuals or companies that are large enough to offer you something relative to your work and maintain contact with these folks. At least monthly, shoot them an email checking in, wishing them happy holidays, or asking them to grab coffee with you. When the time comes that you need to ask for something, you'll be comfortable doing so, and they'll be more likely to say yes.

"Leave a good impression (and a business card) with just about anyone you come into contact with. You never know whose hand you're going to shake that could open a major door for you in the future."

—Alison Lane, Business Advisor, Maine Small Business Development Center

3. Think like a franchisor

"Successful franchises have very specific systems in place so that the model is easily duplicated when new branches open. If a small business starts thinking about these systems from the early business-planning stage, it becomes a part of their business model and gives them a competitive advantage. Create systems or procedures for everything inside the business (inventory ordering/management, bookkeeping, human resources management, culture, etc.) and everything outside the business (customer relations, marketing, branding, atmosphere, culture, etc.). Even if a company does not want to franchise, these systems will put a small company in a position to grow."

—Sue Pitts, Regional Director, Iowa Western Community College SBDC

4. Aim for these three essentials

"I have been a consultant for 19 years and have seen businesses fail and succeed for many reasons. Long-time successful businesses seem to embody personal characteristics I call the 'DOC' theory. They have these three personal skills: discipline, organization, and communication. They are disciplined in getting work done on time and carrying out goals; they are organized enough to know where everything is and manage their time well; and they have the ability to communicate well with others. These are the backbone of interpersonal skills that lay the groundwork for a product or service that is needed."

—Curt Walczak, Business Consultant, Northeast Minnesota SBDC

5. Take a phased approach

"Clients who take a phased approach to growing their business are typically more successful. In a phased approach, the client will start small and then grow the business in phases and not all at once. Using this method, clients test the market and make adjustments to their product or service while they are still small. By the time the business has scaled up, it has honed its product or service to meet the market needs. The phased approach also allows them to begin realizing revenue that can then be used to support the next phase of growth."

—Shannon Byers, Center Director/Business Advisor, Maine SBDC at Coastal Enterprises, Inc. 

6. Create your growth team

"Successful business owners are proactive and intentional when it comes to their growth. They plan in advance and use their team of resources—their SBDC, their CPA, and their banker—strategically. They make sure that 'the team' is on board with the anticipated growth. With checkpoints in place, the growth is monitored and controlled. 'Runaway' growth can be just as dangerous as no growth at all."

—CJ Johnson, Capital Development Advisor, Arizona SBDC

Other Articles From AllBusiness.com:

7. Ask for what you really need

"If you are fundraising for debt or venture capital, whatever financing you think you want to ask for is—nine times out of 10—two or three times more than what you really need. Do a 24-month financial cash-flow projection about the estimated expenses you will incur during your runway for growth period. Seed capital should cover the first one to two years of operating and R&D expenses to help with commercialization. Focus on the essentials first and then go for the bigger ask when you have justifiable market demand that requires funding to scale."

—Brett Dickstein, Business Advisor for Access to Capital, South Bay SBDC hosted at El Camino College and the Los Angeles Regional SBDC Lead Center

8. Just start

"No one begins at the finish line, so just start. Go get that first client, make that first sale, start making money, then ramp it up. Strong, healthy businesses start at the beginning, then build and grow into the businesses they imagined. It's easy to get caught up in the vision one might have for the business, but pivoting happens almost immediately. The faster you start taking the first steps, the faster you can begin navigating the changes that come from learning about your business and your customers. The result is strong, steady growth. The finish line is always sweeter if you start at the start."

—Yolanda A. Facio, Business Analyst, Maricopa SBDC

9. Work with what you have

"Too many of our clients feel like they have to start with the '-est' of everything. They need the 'bigg-est' location, the 'b-est' equipment, the 'new-est' technology. But there really is something to be said for shoestrings. Many successful entrepreneurs and small business owners have built remarkable success stories from basic beginnings. Eric Ries calls it 'minimum viable product,' but the concept of getting a business open by starting with essentials and adding from there has been a hallmark of long-term growth from well before the day that Sam changed Walton's to Walmart.

"This doesn't mean that you don't go all in; it's just a reminder that you don't have to start at the finish line. From the beginning, define the phases that you envision your business growing through to the point where it looks like you want it to look. Then, get started and work through those phases as your cash flow—and customer base—allows."

—Kevin Lust, Director, Illinois Small Business Development Center at Lincoln Land Community College

10. Never stop working on your business plan

"There are parts of your business plan that will never be 'complete,' such as industry trends, projections, competitors, pricing, and core clients. Many small businesses feel like they are past the business plan stage after a few years as they look to 'go big,' but keeping the business plan updated (especially these particular sections) is just as important on day one as it is on day 1,000.

"And don't lose sight of your core clients. As you get more revenue, you can do more marketing or broaden your core client base, but it always comes down to the core clients, who they are, and how much they are willing to pay."

—Peter G. Harriman, Center Director, Portland, Maine SBDC

11. Be unique

"Entrepreneurs can grow faster by identifying one or two niche markets where they stand out from the competition, and create marketing campaigns that address the specific needs and characteristics of that niche. Prospects in that niche or market segment are more likely to connect with and respond to the message, resulting in faster growth.

"Once a critical mass of customers are built in that market segment, momentum takes over and will often organically expand, both in that niche as well as into other market segments. In addition, resources can be diverted to developing another niche.

"Many entrepreneurs resist moving from general branding and marketing of their products or services to specific targeted marketing because they feel they are excluding the broader market segment. But the challenge of stopping at broad message marketing is that it takes too long and costs too much to build a solid customer base. Be unique—you'll stand out!"

—Harriet Parker, Manager, Illinois SBDC at Waubonsee Community College

12. Delegate, systematize, and measure

"#1. Delegate. In order to grow, you must be able to satisfy more client projects, hence you must have the production and service capacity as well as the internal capacity to manage all business operations. This means you need more 'hands on deck,' and you, as the business owner, must be able to let others develop some of these activities.

"#2. Systematize. Some sort of automation has to take place so more things can get done easier and faster. Having a system in place allows a process to be fulfilled in an orderly manner, with an expected result from a specific input. It allows you to manage time more efficiently and lets you anticipate how long it will take you to deliver a service or product to your customer.

"#3. Measure. You can't improve what you don't measure. Once you define your business goals, you need to identify the key performance indicators that help you reach them, and these must be tracked so you can see how far or close you are from your goals. Then you can define larger objectives and more ambitious business projects."

—Eileen Devereux Dailey, Business Consultant, Arkansas SBTDC at UA Little Rock

13. Don't give up

"If your product or service is something that is not provided in your area, have a plan but be flexible. Learn to love to sell, sell what people want (not what you love), floor it, and don't stop for anything. Never give up on your dreams."

—Todd Rausch, Regional Director, Western Iowa Tech Community College SBDC

RELATED: Newly Available CARES Act Loans: 10 Things Small Businesses Need to Know

This article was originally published on AllBusiness. See all articles by Gerri Detweiler.

State senator outlines relief programs for small businesses - MyWebTimes.com

Posted: 30 Mar 2020 04:10 AM PDT

As a public service, Morris Hospital & Shaw Media have partnered to provide open access to information related to the COVID-19 (Coronavirus) emergency. Sign up for newsletter

State Sen. Sue Rezin told small businesses affected by the COVID-19 outbreak in a Facebook Live video Friday to apply for state grants and loans now that are available to assist them.

Rezin, a Morris Republican, said the question she's asked most is: If the business owner has enough cash flow now but they are not sure if they will in the next month, should they apply for any of the grants or loans?

Rezin said she's talked to several state officials, including the head of the state chamber of commerce, and they all agreed.

"They say apply today," Rezin said, noting the applications take 30 days to process. She said if a business owner decides they don't want to take loans or grants a month from now, they can opt out.

Rezin said sales tax deferral is one of the programs to help provide relief for small businesses.

This program applies for eating and drinking establishments that incurred less than $75,000 sales tax liability. These businesses will not be charged penalties or interest for payments due March, April or May if they are paid late. Rezin said this gives relief to nearly 80% of bars and restaurants in Illinois.

She said business owners still must file sales tax returns, even if they are not able to make a payment. Sales tax liabilities for March, April and May will be due in four installments starting May 20 extended through Aug. 20.

Rezin said low-interest small business loans are available up to $2 million at disasterloan.sba.gov.

She said the state treasurer's office is making $250 million available to banks and credit unions for low-interest bridge loans to help businesses throughout Illinois. Go to illinoistreasurer.gov for more information.

In order for businesses or nonprofits to be eligible, they must meet three qualifications: first, they had to be shut down or limited due to COVID-19.

"We're talking about gyms, hair and nail salons, restaurants, many places are shut down due to COVID-19, you would qualify for this bridge loan — you should go to the treasurer's website," Rezin said.

To qualify, these business must have less than $1 million in liquid assets, or $8 million average annual receipts per the Small Business Association standard requirements. The businesses also must be headquartered in Illinois or agree to use the funds in Illinois.

The Department of Commerce and Economic Opportunity is offering hospitality emergency grant programs to help businesses pay working capital, payroll and/or rent. Bars and restaurants that made $500,000 and $1 million in revenue in 2019 are eligible up to $25,000; bars and restaurants that made less than $500,000 in revenue in 2019 may qualify up to $10,000.

"I know this is not a lot of money, but it will help businesses to cash flow until we get relief," Rezin said.

"Apply today and get into the queue," she added.

Another program, the Illinois Small Business emergency loan fund, offers small businesses outside the city of Chicago with fewer than 50 employees and less than $3 million in revenue in 2019 low-interest loans up to $50,000.

Businesses will owe nothing for six months. and then will begin fixed payments, at a low market interest rate for five years.

"It's something to get you through in unprecedented territory," Rezin said.

Another DCEO grant program offers small businesses up to 50 employees the opportunity to partner with their local government to obtain grants of $25,000 in working capital.

Go to www2.illinois.gov/dceo/Pages/default.aspx for more information on the DCEO's programs.

Comments

Popular posts from this blog

COVID-19: New business ideas emerge as people work from home - The Jakarta Post - Jakarta Post

5 Last-Minute Ideas for a Successful Small Business Saturday - Entrepreneur

6 Ways to Improve Your Small Business SEO in 2020 - Entrepreneur