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Ascentium Capital Blog

Informative topics to help small businesses thrive

SMB Response to the COVID-19 Pandemic: Embracing the Need for Change

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There is some good news in the midst of the chaos. SMB entrepreneurs are known for their innovative strategies and, facing a community in need, some companies are redefining their value proposition for the short term.

Not all companies can pivot quickly, but we are seeing many creative and adaptive offerings emerge:

female doctor providing virtual services to patient

Several industries are also seeing growth in previously under-utilized services. One such example is the increased adoption of virtual visits and telemedicine practices in the medical and veterinary industries, allowing providers to continue to provide quality care to human and pet patients while lowering the risk of community spread. No longer limited to large practices, many small-town providers and solo practitioners are now providing virtual services. Some physical therapy companies have started using YouTube to offer support via videos to help patients continue their recovery.

And it’s not just about community and customers, companies are also getting creative to support their employees during this pandemic. Whether that’s policy and technology updates to enable employees to work remotely from the security of their own homes, temporary changes to benefits programs to provide extra protection to workers or bonus pay for essential on-site business functions, employers are adapting to the needs of their workforce.

Unfortunately, not all people are staying employed during this uncharted environment. However, the U.S. Treasury Department, Internal Revenue Service, and the U.S. Department of Labor recently announced that SMB employers will have two new refundable payroll tax credits, designed to fully reimburse them, dollar-for-dollar, for the cost of providing Coronavirus-related employee leave. This relief to employees and small and midsize businesses is provided under the Families First Coronavirus Response Act, signed on March 18, 2020.

Additionally, there is new flexibility that states have in administering their unemployment insurance programs to help Americans affected by Coronavirus. From federal announcements, they are advising businesses and their employees check the latest resources often since programs are changing rapidly in this environment.

Sometimes businesses need help, too.

sign on store window reading closed due to coronavirus

These are uncertain times. Some companies are finding a need to significantly reduce production or temporarily shutter their business due to the impact of the COVID-19 pandemic. Understanding the resources available to assist businesses in these tumultuous times could become its own full-time job. So, we wanted to highlight some of the latest federal programs:

  • The U.S. Small Business Administration is offering designated states and territories low-interest federal disaster loans for working capital to small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19). And, here is a video the IRS just released to hep guide businesses through the application process. 
  • The U.S. Department of Labor developed a list of resources covering workplace safety, unemployment insurance and support for displaced workers and states amongst other topics.
  • The IRS has established a web page to help taxpayers, businesses and others affected by coronavirus, including copies of recent news releases, updated tax guidance, frequently asked questions and other resources.
  • The U.S. Department of Labor has resources to help employees and employers prepare for the COVID-19 virus, including use of Family Medical Leave

A full list of federal programs can also be found by visiting www.usa.gov/coronavirus.

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Ascentium Capital continues to support U.S. businesses, providing access to financing and other resources to help maintain operations during the COVID-19 pandemic.

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Ascentium has provided businesses with over $6 billion – capture your opportunities with flexible financing today!

 

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