Welcome to the Small Business Rundown. Each day, we bring you stories that impact small business owners and their workforce.
Small business News Highlights for March 30:
- Social distancing guidelines extended through April 30th
- End of the month costs forcing hard choices for SBOs
- The U.S. will still see surges in the number of people infected and deaths
- Secretary Mnuchin announces loan instructions and documents will be available as early as today
- House lawmakers discussing next round of rescue legislation
“I’m staring at a $7,500 sales tax number, you know, this past Monday, which I just decided not to pay. Right now, I’m only paying payroll, and food and beer vendors, until we get through this. … This cash cannot come soon enough.”
As March draws to a close and the third week of some sort of mandatory “stay at home” order begins for tens of millions of people across the U.S., small business owners are grappling with an ever-mounting list of concerns and making tough choices about how to spend dwindling cash reserves. Rent is due, vendors and suppliers need to be paid, and employees need to be paid.
President Trump announced over the weekend that social distancing guidelines would remain in effect through April 30th and public health experts expect that the worst is still to come. In light of this information, many SBOs are bracing for things to get even worse, quickly.
“We expect this will be very, very easy.”
Even so, Treasury Secretary Steve Mnuchin believes he has good news for U.S. business owners. He announced today that the Administration will release the forms and instructions for applying for funds from the CARES Act and that he expects the process to be very simple for SBOs.
For employers who are not able to make payroll, the legislation does have provisions for unemployed workers from small businesses.
“Public health experts are predicting that this will be a marathon, and Americans need money in their wallets to sustain them.”
Meanwhile, House Democrats are set to begin talking about the next phase of the economic rescue package tonight. For the fourth round, many Democratic lawmakers are calling for more direct cash payments, expanded leave for employees caring for family members with COVID-19 and even hazard pay for front-line workers with a higher exposure to the disease