By now many of you have heard of the Paycheck Protection Program aka PPP Loan and the Economic Injury Disaster Loan and Advance aka EIDL Loan.
Paycheck Protection Program Loan
“The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll.” (SBA) If you had no one on payroll, you effectively sold yourself short.
Economic Injury Disaster Loan and Advance
"In response to the Coronavirus (COVID-19) pandemic, small business owners in all U.S. states, Washington D.C., and territories were able to apply for an Economic Injury Disaster Loan advance of up to $10,000. This advance is designed to provide economic relief to businesses that are currently experiencing a temporary loss of revenue. This loan advance will not have to be repaid." (SBA) If you had no bookkeeping or accounting records, you effectively sold yourself short.
Without proper bookkeeping, it would be difficult to determine one’s compensation, payroll expenses, or pinpoint the degree by which your business was negatively and temporarily impacted by COVID-19. Moreso, those records would be based on historical data, filing, and related expenses already paid.
Congratulations to the 430,906 recipients of the $37,869,479,978 (SBA Report May 23, 2020).
Affordable bookkeeping plans are available at Tax Largie, Inc. Service Plans for Business Owners. Take advantage of our low monthly fees. Mistakes are merely a lesson if we learned from it. If you were left out of the $37,869,479,978, get a bookkeeper and ensure that doesn't happen again.