WHAT’S GOING ON SBA
As I peruse internet Financial blogs I’ve been reading that advance money has not been going out within 3 days based on the Coronavirus Care Act. (CARES) If it’s true, the SBA is acting in direct contravention to the law. They’ve messed up the law by not getting that money out in 3 days. The three days is part of the bill. I really find this all very interesting so here’s my take on what this particular part of the bill is all about. I’m talking about the $10,000 advance… think about this for a minute. Let’s say you have a small business with 3 employees.
If you took away the rent & just took the payroll and the assorted bills, including the telephones, it still costs more then $10,000 a month to run this business. As a matter of fact that $10,000 would probably run out in 2 weeks. Now,, consider the fact that many businesses will be turned down for their loans for various reasons …credit, overall earnings the last couple of years, and whatever criteria they use. Yet, “all applicants” will still receive $10,000 (which remains to be seen), and call it what you will it’s still free money. This money doesn’t work for business expenses but the reality is it’s free money and I’ll tell you why!….. AND, I’ll tell you why I don’t have a problem with it. What business person with a brain would use it for payroll? It would be enough to run a business for about 2 weeks. Then the business becomes insolvent once again. Obviously everyone of these people are going to pocket the 10K, or if the Redditt posts I have read are correct, the 5K or the $3,500, whatever it is you receive. Just say thank you Mr. President and move on. I find it hard to conceptualize government officials being stupid enough to think that $10,000 would be enough to keep a business afloat for more than a couple of weeks so consequently the business owners are going to say screw it and just feed their families. Here is where I think it gets really interesting and political.
Let’s say you are middle-class but hardly rich by realistic standards. What would the Democrats or the general public say if the government was throwing the middle class free money which obviously helps you out a lot? Many people wouldn’t understand all this unless they live in the middle class. There would be outrage! Many in the middle class have money tied up in retirement accounts and are pretty much cash poor so to speak. Giving the middle class relief would create an uproar that would be heard around the world. Lawmakers in the Senate would take a beating. I believe this money, was absolutely earmarked for middle class people with the full knowledge that they would pocket it. Every advance, without a real loan follow up was money that was specifically allotted for people in the middle class, socio-economic group. The government just couldn’t come out and say that. Hopefully you’re not suffering too badly during this economic disaster. I do know that many people have taken payday loans to pay their bills and can’t pay those payday loans back now. If this is the case how do you consolidate your payday loans? Are there companies that consolidate payday loans. how would you consolidate them if you found the company at consolidated them for you. What would you do. I think if you are looking for a payday loan consolidation company you’re on the right site. Try us! We are old and we are respected. We are 23 years old and have an A+ rating with the BBB. I believe we are the best, mostly because we care the most.