What does the Advance Child Tax Credit mean for you?
Category: COVID-19
Remember the EIDL loan? That is the Economic Injury Disaster Loan that you may have applied for in the middle of last year.
The payments for that loan are deferred for one year. The one-year anniversary for many early applicants is coming up, so the SBA is going back, dotting I’s crossing t’s, and getting ready for the start of payments.
You may receive a couple of different letters from the SBA.
The first letter you may receive is a servicing letter from the SBA.
This will likely come to your email and look something like this with an attachment:
It should come from the sba.gov domain. There should be a PDF attached that contains loan servicing instructions, including how to make payments.
It does not include your payment amount. That you will find in the loan documents, which you can find by logging into your SBA loan account here.
Log in using the email address that you used to register your account and the password that you created when you applied. If you don’t know your password click on forgot password, enter your email address and the system will send you a reset link.
The servicing letter also includes instructions on making a payment at pay.gov. You can pay through ACH, PayPal, or with a Debit Card. Click here to make a payment on your EIDL loan.
You do not have to create an account to make a payment but if you do create an account you can schedule repeat payments so that you don’t have to think about this anymore. To create an account go to pay.gov and click on the nearly hidden: “create an account” link at the top right of the screen:
For any loan above $25,000, the SBA required that you guarantee the loan with your company assets and ensure those assets.
Specifically, the SBA requires that the borrower holds hazard insurance for a minimum of 80% of the business asset value. So, they may request evidence of insurance.
Many businesses do not have assets. In this case, the SBA seems to be accepting liability (Errors and Omissions) insurance.
This resolution should confirm that the “Business held a meeting to confirm taking the SBA loan for the amount listed on the application, including the date of the meeting and that the person on the application has the authority to sign on their behalf and for the entity.”
If you have a board, you may need to confer a quick meeting and backdate the letter.
If you don’t have a board, the SBA still wants a letter. Their instructions, in this case, have been to create a document that states:
That should take care of the legalities.
Yes! If you didn’t get an EIDL loan they are still available. Learn more about the EIDL loan here. And fill out an application here.
The upside of the EIDL loan is that it is a 30 year loan at 3.75%, which is a reasonable rate, it can be a lifesaver if your business needs the funds to function.
If you are a client and would like to book a consultation, call us at +1 (212) 382-3939 or contact us here to set up a time.
If you aren’t a client, why not? We can take care of your accounting, bookkeeping, and CFO needs so that you don’t have to worry about any of them. Interested? Contact us here to set up a no-obligation consultation.
Interested in receiving updates in your mailbox? Check out our newsletter, full of information you can use. It comes out every two weeks and you can register for it here:
Category: COVID-19
Category: COVID-19
Category: Accounting
Send us a message and we will contact you as soon as possible.
Jeff Coyle, CPA, Partner of Rosenberg Chesnov, has been with the firm since 2015. He joined the firm after 20 years of business and accounting experience where he learned the value of accurate reporting, using financial information as a basis for good business decisions and the importance of accounting for management.
He is a diligent financial professional, able to manage the details and turn them into relevant business leading information. He has a strong financial background in construction, technology, consulting services and risk management. He also knows what it takes to create organizations having built teams, grown companies and designed processes for financial analysis and reporting.
His business experience includes:
Creating and preparing financial reporting, budgeting and forecasting.
Planning and preparation of GAAP and other basis financial statements.
Providing insight on financial results and providing advice based on those results.
Jeff also has a long history of helping individuals manage their taxes and plan their finances including:
Income tax planning and strategy.
Filing quarterly and annual taxes.
Audit support.
General financial and planning advice.
Prior to joining the firm in 2015, Jeff was in the private sector where he held senior financial and management positions including Controller and Chief Financial Officer. He has experience across industries, including construction, technology and professional services which gives him a deep understanding of business.
Jeff graduated from Montclair State University, he is a CPA and member of the American Institute of Certified Public Accountants, New York State Society of Certified Public Accountants and New Jersey State Society of Public Accountants.
Jody H. Chesnov, CPA, Managing Partner of Rosenberg Chesnov, has been with the firm since 2004. After a career of public accounting and general management, Jody knows the value of good financials. Clarity, decision making, and strategy all start with the facts – Jody has been revealing the facts and turning them into good business results for more than three decades.
He takes a pragmatic approach to accounting, finance and business. His work has supported many companies on their path to growth, including helping them find investors, manage scaling and overcome hurdles. His experience and passion for business reach beyond accounting and he helps businesses focus on what the numbers mean organizationally, operationally and financially.
He has a particular expertise in early-stage growth companies. His strengths lie in cutting through the noise to come up with useful, out of the box, solutions that support clients in building their businesses and realizing their larger visions.
Prior to joining the firm in 2004, Jody was in the private sector where he held senior financial and management positions including General Manager, Chief Financial Officer and Controller. He has experience across industries, which gives him a deep understanding of business.
Jody graduated with a BBA in Accounting from Baruch College, he is a CPA and member of the American Institute of Certified Public Accountants and New York State Society of Certified Public Accountants.
In addition to delivering above and beyond accounting results, Jody is a member of the NYSCPA’s Emerging Tech Entrepreneurial Committee (ETEC), Private Equity and Venture Capital Committee and Family Office Committee.
He is an angel investor through the Westchester Angels, and has served as an advisor for many startup companies and as a mentor through the Founders Institute.