What a year 2020 has been for the small business owner.
PPP wasn’t without its faults, with implications of a tax apocalypse around the corner.
The Economic Injury Disaster Loans, or EIDL for short, didn’t do enough to help owners stay in business during the torrid months after the initial shutdown.
Frankly put, there was little thought and effort put into helping small business owners survive this pandemic, and to add insult to injury, the airlines could potentially see another bailout before any help is given to the folks who really need it; the supposed “Backbone of America” we all hear about.
I came across this post on Reddit from a rightly frustrated business owner. He remarks that it’s unfair that big box stores are deemed essential, PPP and EIDL did very little to help and refers to the Federal Reserve Main Street Lending Program as a “joke.”
That person came to the conclusion that owners needed to form their own coalition, deemed Small Business Owners of America, or SBOA.
In his petition on Change.org, he asked for the following:
At the time of this writing, the petition has received fewer than 20 signatures. The demands listed aren’t out of line, but, let’s face it, even if this petition has over 10 million signatures, very little will change.
So, what can you do as an owner to inspire change?
Power in Planning
I sound like a parrot constantly repeating myself but plan, plan, plan, folks! In my previous piece, I wrote:
“Think about what you want to accomplish in the coming year. Think about profit if you’re looking to expand your operations, increase your market share, and more. The goals you set here will be what you measure your results by.”
The entire system is rigged to allow those with deep pockets (think Amazon and Walmart) to win, and the best way to combat that is to plan.
If this pandemic has taught us anything, it’s that anything is possible.
Another Shut Down Coming Soon?
Do I think another shutdown is coming?
Yes, I think it’s imminent, but there needs to be changes to how it’s done.
What we learned from the shut down this past April is that deferments don’t work.
The unemployment rate, according to the Bureau of Labor Statistics, remains at a high 7.9-percent.
Here in Orlando, thousands were either laid off or furloughed from their jobs from theme parks, and hundreds of businesses shut down because of the pandemic.
Rent deferrals are catching up to people; one apartment complex I’m familiar with sent letters to its residents stating “Evictions will begin again.”
I get it, they need their money.
We need to look at how France and Germany is handling the pandemic with their bailout plan. Both countries proposed a $549 billion recovery fund to help out the hardest hit communities.
The new administration has proposed bringing back the $600 bonus to those unemployed as well as providing financial relief for state and local governments.
With a divided House and Senate, bringing this proposal to fruition feels more like a longshot.
Right now, the future seems uncertain, but there is one constant: you need to plan!
I’m no economist, so I don’t have the answers to fix the US, but if you need help developing and implementing a survival plan in your organization, please feel free to reach out to me on LinkedIn.