WASHINGTON— The U.S. Small Business Administration (SBA) announced that the deadline to apply for the Economic Injury Disaster Loan (EIDL) program for the COVID-19 Pandemic disaster declaration is extended to December 31, 2021. The deadline extension comes as a result of the recent bipartisan COVID-19 relief bill passed by Congress and enacted by the President on December 27, 2020.
To date, SBA has approved $197 billion in low-interest loans which provide U.S. small businesses, non-profits and agricultural businesses working capital funds to help America’s small businesses make it through this challenging time.
“Following the President’s declaration of the COVID-19 Pandemic, SBA has approved over 3.6 million loans through our Economic Injury Disaster Loan program nationwide,” Administrator Jovita Carranza said. “The EIDL program has assisted millions of small businesses, including non-profit organizations, sole proprietors and independent contractors, from a wide array of industries and business sectors, to survive this very difficult economic environment.”
EIDL loan applications will continue to be accepted through December 2021, pending the availability of funds. Loans are offered at very affordable terms, including a 3.75% interest rate for small businesses and 2.75% for non-profit organizations, a 30-year maturity, and an automatic deferment of one year before monthly payments begin. Every eligible small business and non-profit are encouraged to apply to get the resources they need.
About the U.S. Small Business Administration
The U.S. Small Business Administration makes the American dream of business ownership a reality. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.Read More
GABB Affiliate Board Representative Kim Eells, Senior Vice President of SBA Business Development at Georgia Primary Bank, says the SBA requires answers to these ten questions on every loan. These are critical when a business owner wants to sell their business.
SBA Guidance on additional Credit Underwriting Questions for loan customers during the pandemic:
- Does the Applicant and/or Seller of a business have a PPP or EIDL loan? If so, what is the loan’s status?
- How has the business and its industry been impacted by the Covid-19 emergency? Have business revenue and staffing levels been impacted? What is the plan to return to normal operations? does the business have a contingency plan for revenues and operations for a minimum of the next 18 months?
- How have any restrictions such as “stay-at-home orders,” social distancing, travel, traffic flow, and trade limitations impacted the applicant’s cost projections, clientele or access to supplies, inventory and/or equipment?
- What are the other impacts to the business’ operational cost(s) such as providing protective gear, cleaning materials and essential costs to ensure the safety of customers and employees?
- Is the historical financial information reliable based on current market conditions? Consider using month to month financial proforma with break-even analysis based on current market conditions (i.e. unemployment rates, decreased household disposable income).
- How concentrated or diversified is the customer base? How reliant is the applicant on sales to or receivables from customers in those concentrations?
- How concentrated or diversified is the applicant’s vendor/supplier pool, and which, if any, vendors or suppliers have decreased ability to support the business?
- What impact have current market conditions had on collateral adequacy, i.e value of property, equipment, etc.?
- For Change of Ownership loans, given current market conditions, does the applicant have adequate industry experience to operate the business?
- For any loans where 50% or more of the loan proceeds will be used for working capital, the Lender should specifically address in its credit memorandum why this level of working capital is necessary and appropriate for the subject business in light of the COVID-19 emergency.
Note: All 7(a) Lenders should review the business valuation to ensure that it addresses the economic impact of the COVID-19 emergency, including such factors as whether the business provides essential or nonessential services, has been subject to closures or occupancy restrictions, and has incurred any additional debt as a result of the COVID-19 emergency. If the valuation does not satisfactorily address the impact of the COVID-19 emergency, the 7(a) Lender should consider requesting an updated business valuation.Read More
Would you like a chance to hear from Georgia’s most successful business brokers?
Some of the 19 members of the 2020 Million Dollar Club spoke to the Georgia Association of Business Brokers on Dec. 16, and shared their thoughts about what has made them successful. They mentioned referrals, integrity, good communication and networking within the GABB. Hear more about what they had to say at this link.
Collectively, the 2020 Million Dollar Club honorees sold almost $61 million worth of small, medium and large businesses. The honorees were named on Dec. 10 at the GABB’s annual Holiday Gala.
The GABB provide leadership and resources to promote professional business brokerage and to provide education and resources to improve our profession. To achieve that goal, the GABB endeavors to establish a multi-faceted communication system among members, buyers, and sellers and the resource industries needed to accomplish the sale and purchase of businesses in Georgia. For more information about GABB, contact 2021 GABB President Judy Mims at 404-842-1997 or email@example.com, or Diane Loupe at firstname.lastname@example.org or by calling 770-744-3639,Read More
ATLANTA – The State of Georgia has shattered its own record by being named No. 1 for business climate for the eighth consecutive year by Site Selection magazine.
In 2019, Georgia became the only state to earn this distinction seven consecutive times in the history of Site Selection’s rankings, and it is now the only state to receive the honor eight times in a row. Governor Brian P. Kemp’s announcement on Nov. 12 followed a tour of Bridgestone Golf’s headquarters and research and development facility in Covington, Georgia, where the Governor was also presented with golf balls stamped with the “No. 1 State” artwork to commemorate the occasion.
“I’m so proud that Georgia has earned this top business distinction for a record-setting eight years, and it is an honor to accept this award from Site Selection magazine,” said Gov. Kemp. “Our top-notch workforce development programs and pro-business environment, along with our strong logistics infrastructure, have further solidified the Peach State as the best place in the nation to live, work, raise a family, and start or grow a business. I thank our partners in both the public and private sectors, our world-class economic development team, and the hardworking Georgians throughout the state who helped us beat our own record with this unprecedented achievement.”
Site Selection magazine is an internationally circulated business publication covering corporate real estate and economic development. The publication’s rankings are 50% based on an index of seven criteria and 50% on the input received from a survey of independent site location experts who are asked to rank states based on their recent project experiences. This year, Georgia shares this top ranking with North Carolina.
“Our readers are keenly interested in our annual state business climate ranking, because they seek locations with the greatest prospects for success,” said Site Selection Editor in Chief Mark Arend. “Georgia’s eighth consecutive Top State Business Climate win reminds them that a Georgia location will contribute to their productivity and profitability long term.”
In a survey published with the rankings, workforce skills were the most important criteria to site selectors for the fifth consecutive year, with workforce development programs coming in second place. Transportation infrastructure, ease of permitting and regulatory procedures, along with state and local taxes completed the top five issues of importance to the process.
President and CEO of Bridgestone Golf Dan Murphy hosted Governor Kemp, alongside First Lady Marty Kemp, and members from both the Georgia Department of Economic Development (GDEcD) and Site Selection magazine, as they safely celebrated these accolades. The event also highlighted Bridgestone Golf’s continued success in the state as they celebrate their 30th anniversary in Covington. The Georgia Made™ company employs nearly 160 Georgians and has continued to make new investments in research and development. Earlier this week, Bridgestone re-signed Tiger Woods and Bryson DeChambeau to long-term contract extensions, which includes DeChambeau significantly increasing his involvement in Bridgestone’s R&D processes for developing new golf ball technology.
“Georgia’s success is thanks to a long, proven track record of our state doing things the right way,” said GDEcD Commissioner Pat Wilson. “Whether entering or expanding in Georgia, it’s our goal to give every company we work with the peace of mind they need to know that they will have a long-term partner in the state.”
Site Selection magazine joins Area Development magazine in naming Georgia the top state for business for 2020 – the eighth and seventh consecutive year, respectively, that both publications have awarded Georgia the top ranking. Earlier this week, Governor Kemp also shared that Georgia remains on a record pace for economic development investments and job creation in the state during fiscal year 2021, increasing investments by 56% and jobs by 45% compared to the same timeframe last year.
The Georgia Department of Economic Development (GDEcD) is the state’s sales and marketing arm, the lead agency for attracting new business investment, encouraging the expansion of existing industry and small businesses, locating new markets for Georgia products, attracting tourists to Georgia, and promoting the state as a destination for arts and location for film, music and digital entertainment projects, as well as planning and mobilizing state resources for economic development. Visit www.georgia.org for more information.
Linda A. Collett, a GABB affiliate member, passed away unexpectedly at home on October 19, 2020. She was 60 years old.
Linda was born on April 14, 1960 in Los Angeles, California to Cyril Reed and Audrey Collett and grew up in Thousand Oaks, California. She attended Thousand Oaks High School, the University of California, San Diego and graduated from the University of California, Berkeley with a degree in Business Administration.
Linda entered the business world after college and worked at several firms in Sacramento until she was transferred to Chicago in 1996 and then to Atlanta in 1998, where she fell in love with the city and made it her permanent home. In 2003, after 17 years in the corporate world, Linda left her position as Assistant Vice President of Risk Management Technologies at Marsh, LLC, a global insurance brokerage firm, to attend law school full time. She graduated cum laude from the Georgia State University College of Law in 2005 and opened The Collett Law Firm, a boutique law firm in Marietta specializing in starting, growing and selling businesses in the Atlanta area.
Linda was passionate about helping others and invested over 300 hours in training and study to become a certified professional coach. She was also a very active volunteer in the Professional Women’s Information Network (ProWIN) and served on the Board of Directors and Advisory Board for many years, in addition to serving two terms as the organization’s president. Linda enjoyed public speaking and spoke regularly at business groups in the Atlanta area and taught “Legal Issues for Small Businesses” at the Kennesaw State University Small Business Center for several years.
In her limited free time, Linda enjoyed yoga, taking courses on spiritual and personal growth, and recently began kayaking on Georgia’s beautiful lakes and rivers.
Linda is survived by her parents, Audrey and Reed (Cy), her brother, Dave, and by several cousins, nieces and nephews. She would not want her family, friends and colleagues risking their health at a public service during these difficult times, but condolences may be sent to CondolencesForLinda@yahoo.com and donations may be made to ProWIN or to the Georgia State University College of Law.