Top 5 Mistakes Most Business Owners Are Making:
5. Applying for the wrong loan program
Do you know whether to apply for an EIDL loan? Or a PPP loan? Or a traditional SBA loan? Or two of those? Or all three of those? These issues are complicated. You need to hire an expert to help guide you through the process. Most businesses are applying for the wrong loan or combination of loans and grants. WARNING: This could cost you thousands of dollars in interest, repayments, delays, or unemployment insurance increases. If you aren’t an expert on the various loan programs out there Call Us or TEXT US ASAP at 1-832-459-7335.
4. Not calculating the right amount of money to borrow
This is the most complicated part of the CARES Act. If you don’t know what deductions to include in your application amount, you could get it wrong. If you get it wrong, one of two things is going to happen: (1) you are going to apply for too little money and not get the benefits you need; or (2) you are going to apply for (and get approved for) too much money and when the SBA comes to you in four months and audits your books, you won’t get your loan forgiven. This is a high stakes poker game involving thousands of dollars. It is worth it to talk to an expert and do it right. Email us at firm@schmidtfirm.com.
3. Not applying for an Emergency Grant
Do you know whether you qualify for an Emergency Grant? Some businesses can get $10,000 within 3 days of filing their application. We can help you determine whether you qualify for this benefit (most businesses do), and then help you apply for and get the money quickly.
2. Not taking advantage of all benefits available.
The CARES Act is 880 pages long. It creates multiple different programs that help individuals and businesses. In addition, most states and many cities have their own loan programs, grants, and other benefits. Do you know about Freelancer’s Union grants? Do you qualify for a “Main Street Lending” loan? How many other programs do you know about? Don’t leave money on the table. Call us at 832-459-7335 today.
1. Waiting too long to apply
As soon as the applications come out, you need to fill it out and get it filed. ASAP. If the PPP Loans are any guide, the websites will time out and it may take several days of constant trying to get your application filed. The businesses that file first are going to get served first. Waiting a couple days before filing your application could create weeks of delay because the banks and the SBA are overwhelmed.
Do I need an adviser?
Do you know the details of the Federal Reserve’s new Main Street Lending Program? Do you know about the Freelancer Grants for sole proprietors? Do you know the mistakes business owners make that delay their relief money? Contact your CPA as a first start. If you need further assistance, let us know, and we will help you find relief programs that are right for you and can point you in the direction of the right bankers, lawyers, CPAs, or other consultants who can help you.