In the summer of 2008, my wife and I packed up the two kids, the dog, and two cats in the RV to move across country from California to Georgia. We were no strangers to moves. We moved across continents and country just years before, but this trip was different. You may expect that this story ends in bickering, exhaustion, and endless “are we there yets?” But this is not a story of sadness. It was the eager and excited start of a new chapter.
During this summer, we were travelling across the Arkansas countryside during America’s Independence Day. There were firework tents every 10 minutes by the side of the road – some at 70% off. We camped outside Little Rock and enjoyed the celebrations. I still remember commenting to Kris that the fireworks looked great, and you couldn’t tell which ones were 70% off. It’s a special memory my family shares and most certainly a good Independence Day.
This Independence Day looks a bit different. I’m sure there will still be fireworks, but the celebratory mood I assume will be dampened by the current shape of things. There’s undoubtedly a feeling of survival at both a human and an economic level. The 70% off sales have spread across many industries as businesses are closing and offloading their inventory. The campgrounds will be full as people flock to outdoor activities as an attempt to distance from each other, but people will still celebrate the day. Even in the tough times, I see that people rally to support each other.
Take the Sci-Fi classic, Independence Day, as an example of humans banding together. In this very fictional film, humanity was threatened by an outside force, and through perseverance and survival instincts, they beat the odds and eliminated the threat. It’s applicable to today. Whether discussing people or businesses, there is a survival instinct that kicks in. For some, that is sheltering in place, social distancing, and wearing a mask. For others, it’s sending employees to work remotely, finding a larger line of credit for your business, or making forward-thinking business plans to account for new challenges.
Is There Enough Time for Your Small Business?
It may feel like you’ve run out of time. “Time’s up,” says Jeff Goldblum’s character as the aliens launch massive scale attacks. You might have used your PPP money already, or you might miss the deadline to apply for a PPP loan. 52% of small business owners who received PPP loans said it saved their business, but 43% of these business owners have a month or less of cash reserve according to a June poll. Even worse, 69% of businesses without funding expect their cash to run out this month.
Fighting for Your Small Business
If you’ve already used or will miss the deadline for PPP, it may feel like you’re fighting for your small business’ life. An invasion of debt, declining revenue, and a sharp downturn in the economy is threatening your business. You may be one of the majority of small business owners that is either out of money currently or going to be out of money before August. As a rallying cry before the counterattack, the movie’s president says, “We will not go quietly into the night.” It’s the same message that my finance company and many other companies have been broadcasting. There are still financing options for small businesses.
With or without another stimulus program, small business owners can use alternative financing options to stay strong and keep running their business. The Paycheck Protection Program is not the only solution to having enough cash to keep your business alive. Invoice factoring is one of these solutions that can improve cash flow and create available cash on hand. There is no debt, and small business owners without high credit or a lengthy time in business can still qualify. Time is not up to protect your business. Do not go quietly into the night. Happy Independence Day from Eagle Business Credit and remember this time does not have to be a story of sadness, it can be a story of a new start for your business.