Coronavirus is not a permanent state of affairs but you need to protect your liquidity for 30-60 days until shelter in place restrictions become less severe and the economy starts recovering. Some ideas.
- Put a spreadsheet together which monitors your lease costs versus revenues for individual signs. Ask landlords for a short term rent accommodation (30-60 days) for those signs for which you’ve seen cancellations.
- Defer discretionary capital projects for 30-60 days.
- Document revenue losses caused by coronavirus in case you want to seek working capital disaster financing from the SBA. Here’s a link to the SBA disaster loan assistance page which highlights eligible disaster areas and allows you to apply online. Looks to Insider like most states are eligible for financing. Insider received this notice from the SBA earlier this week.
What have you been doing to protect your company’s liquidity? Let Insider know using the form below. We’ll share the best ideas.
[wpforms id=”9787″]
Paid Advertisement
Hello Dave,
RE: Liquidity
Last week we made a big push to get slow payers and late payers to send in payments. This week we worked with our lender to get a 90 deferral on loan payments. We’ll be putting the money that would have gone to the bank aside in case we need it. We put all capital projects and litigation work on hold until further notice. We are now focusing on prospecting for new business to try and fill the spots we expect to go vacant in the next three months.
Mike Fitzgerald
Railroad Outdoor, LLC
SBA link is down for maintenance .