By The Liberty Group of Nevada, LLC
In times that are rife with turmoil and struggle, it is the individuals who keep a calm and open mind that will find opportunities presented to them by the situation. The COVID-19 outbreak has created a worldwide upheaval and has affected people, businesses, and countries. On March 27, 2020, the United States Congress passed the largest economic relief bill in US history, the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The bill will support individuals and businesses affected by the pandemic.
With the American economy stagnating and the stock market remaining in a bear status for the foreseeable future, the American government is pushing much of its resources into the economy. One way this is occurring is through loan payments being offered by the U.S. Small Business Administration (SBA).
Part of the SBA’s current debt relief strategy is to relieve pressure off current lendees and incentivize small businesses/entrepreneurs to invest by making loans more accessible. All the current loans that fall under the classifications of 7(a), 504, and or microloans will have their principal, interest, and other associated fees are paid for by the SBA for six months. This will allow current lendees to focus on sustaining their business through the COVID-19 pandemic. Furthermore, all new loans made under the classifications of 7(a), 504, and or microloans and disbursed prior to September 27, 2020, will have their principal, interest, and other associated fees are paid for by the SBA for six months. It is important to note that these debt relief is not available for Paycheck Protection Program loans or Economic Injury Disaster loans.
This action taken by the SBA has made these types of loans incredibly desirable in many regards. The loans are more financially valuable by guaranteeing some base value for the loan through the SBA down payments. The burden of loans being undertaken has been significantly reduced. The initial costs of undertaking a loan are at an all-time low. The loans promise the certitude that capital will be on hand to help alleviate oncoming struggle or be able to be invested in newly presented opportunities. All this works to make these loans incredibly attractive. Therefore, the atmosphere is prime to take advantage of these loans whether to pursue new goals or to have additional funds to endure future expenditures. In this strenuous and uncertain time, these loans can provide the resources that you may need to purchase an existing business.
The Liberty Group of Nevada business brokers are dedicated to making the process of purchasing a business an informed and efficient experience with no surprises. Our brokers bring industry knowledge and expertise to each transaction and are able to assist the buyer with their purchase. If you are interested in purchasing a business or would like more information, please visit http://thelibertygroupofnevada.com/.