The Treasury Department has begun a program to hand out $10B to lending sources earmarked for small and minority owned businesses. Their goal is to create a broader economic recovery.
The money comes from the $1.9T C-19 Aid Package that was passed last March. The Treasury Department expects the disbursements to begin in the next couple of months. It will go first to the states that will have discretion on how to distribute the funds, within the parameters of the Treasury.
This program revives a policy that was put into place after the “07 – “09 nightmare. Traditionally banks cut back on lending to smaller firms following economic downturns. They do this to preserve cash, so that bad loans can be covered on their balance sheets.
This package is six times the size of the last one. The reasoning is that racial minorities, rural communities, and veterans traditionally receive less funding than primarily white owned firms.
Let me leave you with this.
Prior to the Omicron surge, I would have never thought that the pandemic would continue indefinitely. Lately, I’ve had this annoying feeling in the back of my mind that it’s here to stay.
The more I’ve spoken to all of you, I’ve found that many have the same thoughts, but let me reassure you,
Nothing is forever. Sooner or later, it will end.
Will this one go on longer than others? Absolutely yes. The Spanish Flu pandemic of 1918 only lasted two years, and this one will certainly go into its third year.
In the meantime, you need to stay strong, doing whatever is necessary to preserve your business and mental health.
Talk to your people. Let them know that everything is fine with the business. No one needs anyone jumping ship just because you walk in one morning in a bad mood.
Talk to your family. Let them know that no matter what happens, it will all turn out okay. Many forget that our children may be the ones most affected by the pandemic. These are scary times for everyone. Think about how scared they might be and help them through it.
Take some time with yourself. Schedule vacations. Do something that feeds your soul. If you don’t manage your own mental health, you aren’t going to be any help to anyone.
People rely on us for leadership, so get to it. Lead.
Accounting Solutions Ltd. stands ready to complete our mission and purpose of protecting you, your family, and your business. Whether you need Employee Retention Credits, PPP Loan Forgiveness, Payroll Services, or Accounting and Tax Work, you have but to ask. I’m here and I remain,
Accounting Solutions Ltd.
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