Join | Member Login
Arlington (VA) Chamber of Commerce | Arlington, VA 22201
  • Membership
    • Membership Benefits
    • Join Now!
    • Chamber Assisted Grand Openings
    • Chamber Member Retirement Program
    • ShopChamber
    • Advertising >
      • Website Ads
      • E-Newsletter Ads
      • Print Ads
    • Committees
    • LeadShare
    • Annual Corporate Sponsors
    • Member Login
  • Business Directory
  • Events
    • Chamber Calendar
    • Community Calendar >
      • Submit a Community Event
    • Networking Events >
      • Chamber 101
      • Breakfast Connection
      • Business After Business
    • Signature Events >
      • Arlington Business Gala
      • Hospitality Awards
      • Legislative Breakfast
      • Arlington Chamber Volunteer Day
      • AWE Women in Business Summit
      • Best Business Awards
      • State of the County & Public Safety Awards
      • Annual Meeting
    • Educational Events
    • Women in Business
    • Travel
    • Online Learning Center
    • COVID-19 Event Policy
  • Community
    • Arlington Restaurant Week
    • Small Business Accelerator
    • Early Childhood Financial Resiliency Accelerator
    • Coronavirus Resources
    • Coupons
    • Job Board
    • Scholarship Fund
    • About Arlington >
      • Business Resources
      • Map of the Area
      • Visiting Arlington
  • Business Advocacy
    • Public Policy Positions
    • Arlington Advocacy >
      • Budget & Taxes
      • Planning
      • Project Support
      • Economic Development
      • Processes
      • Retail & Signage
      • Transportation
    • Virginia Advocacy >
      • Budget & Taxes
      • Transportation
      • Economic Development
      • Other Topics
    • Recent Advocacy
  • About the Chamber
    • Board of Directors
    • Staff Directory
    • Chamber in the News
    • Strategic Plan
    • FAQs
    • Blog
    • Publications >
      • Arlingtonian Archives
      • Arlingtonian Archives
    • Press Releases
    • Contact Us
  • Membership
    • Membership Benefits
    • Join Now!
    • Chamber Assisted Grand Openings
    • Chamber Member Retirement Program
    • ShopChamber
    • Advertising >
      • Website Ads
      • E-Newsletter Ads
      • Print Ads
    • Committees
    • LeadShare
    • Annual Corporate Sponsors
    • Member Login
  • Business Directory
  • Events
    • Chamber Calendar
    • Community Calendar >
      • Submit a Community Event
    • Networking Events >
      • Chamber 101
      • Breakfast Connection
      • Business After Business
    • Signature Events >
      • Arlington Business Gala
      • Hospitality Awards
      • Legislative Breakfast
      • Arlington Chamber Volunteer Day
      • AWE Women in Business Summit
      • Best Business Awards
      • State of the County & Public Safety Awards
      • Annual Meeting
    • Educational Events
    • Women in Business
    • Travel
    • Online Learning Center
    • COVID-19 Event Policy
  • Community
    • Arlington Restaurant Week
    • Small Business Accelerator
    • Early Childhood Financial Resiliency Accelerator
    • Coronavirus Resources
    • Coupons
    • Job Board
    • Scholarship Fund
    • About Arlington >
      • Business Resources
      • Map of the Area
      • Visiting Arlington
  • Business Advocacy
    • Public Policy Positions
    • Arlington Advocacy >
      • Budget & Taxes
      • Planning
      • Project Support
      • Economic Development
      • Processes
      • Retail & Signage
      • Transportation
    • Virginia Advocacy >
      • Budget & Taxes
      • Transportation
      • Economic Development
      • Other Topics
    • Recent Advocacy
  • About the Chamber
    • Board of Directors
    • Staff Directory
    • Chamber in the News
    • Strategic Plan
    • FAQs
    • Blog
    • Publications >
      • Arlingtonian Archives
      • Arlingtonian Archives
    • Press Releases
    • Contact Us

ChAmber Blog

How Do I Best Use My PPP Money?

7/20/2020

0 Comments

 
Picture
Manny Cosme, President & CEO, CFO Services Group

As of the writing of this blog post, we are neck deep in COVID-19 land.  The novel coronavirus has taken our health and our economy hostage.  Literally every day, we are fighting to not only keep ourselves physically safe, but keep our small businesses and non-profits afloat.  Never in our modern history have we faced a challenge so great, and one that will have as long-lasting impact as this.

Picture
​Luckily, our Federal, State, and Local governments have stepped in to help us small businesses owners navigate through these unprecedented times.  The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), in particular, birthed the now well-known Paycheck Protection Program (“PPP”), which has been providing much needed relief to us all.  This program has gotten its fair share of news coverage, so I won’t reiterate all that here.  Instead, I want to talk about what happens AFTER you get your PPP money.
This has been a big question on the minds of our clients.  It’s one thing to get the funds and quite another to know how to spend them.  This is particularly true for businesses that have been forced to shut down (partially or totally) and/or not able to sell their normal product or service lines.  Being strategic about the use of these funds is critical to ensuring that you use this money efficiently and effectively and don’t waste this precious gift.
That said, here are my 5 tips for using the money wisely and surviving this pandemic.
 
Tip #1: Create New Revenue Streams. 
The PPP was meant to pay your employees and keep them producing for you.  For those businesses that have been impacted by a shutdown, this may mean that you have to create new ways to make money.  Put your entrepreneurial hat on and start brainstorming ways to sell new things (or current things in new ways).  Your employees can help you create these new ideas and roll them out to the marketplace…and keep your sales coming in.
 
 Tip #2:  Keep Your Financial Forecasts Updated
Imagine being in a big room and suddenly the lights are turned off. That’s essentially what’s happened to our businesses.  Before all this happened, you could probably reasonably see what was coming a few months down the road.  But now we’re in the dark and can’t see what’s going on right in front of us!  It’s a scary and anxiety-producing feeling.  The remedy to this is to really rely on our financial projections.  They create a pathway of light through this dark and give us the vital information that we need to make crucial decisions.  Do we need to cut costs?  Are we able to sell our normal services or products?  Who owes us money and will they actually be able to pay, and how does that impact my cash flow?  There are a lot of moving pieces right now, and its hard to keep track of what’s really happening to our businesses, so frequently updating our financial forecasts will help us to wrap our minds around the reality of our business and keep us moving forward.
 
Tip #3:  Plan For Repayments
The PPP is a forgivable loan so you don’t have to pay it back.  But chances are you got more money than just the PPP, and chances are that you will have to pay those monies back.  So make a plan for how that will look.  When will payments start and how long will they last.  Going back to my last tip, you want to update your financial forecasts accordingly so you don’t get caught off-guard.  And if you don’t feel like you can handle the repayments, you may want to think about prepaying those monies back now.
 
Tip #4:  Look For The Opportunities
Albert Einstein once wisely said, “In the middle of every difficulty lies opportunity.”  Remember these words and live them, because there is tremendous opportunity right now.  A lot of people are hurting, and the greatest role that an entrepreneur can play is to bring a product or service that can heal those wounds.  Can you use some of the PPP money you got to pivot your business to help out others?  For example, can you teach people your skills so they can get jobs, or can you give away some of your products to those in need?  Step up to the plate and be the business leader that your community desperately needs.
 
Tip #5:  Keep Your Mind Strong
Everything ultimately boils down to your mindset.  It’s so easy to feel anxious right now and start making decisions from an emotional standpoint instead of a factual one….and an emotion of fear at that!  What’s worse, your brain then subconsciously blocks any opportunity that presents itself because you’re so focused on what’s going wrong.  This is a recipe for disaster, and unfortunately (or fortunately) something only you can resolve.  So take some extra time to keep yourself centered during this time.  Hopefully you’re feeling some anxiety relief from the PPP money that you received, so take this as a moment to pause, catch your breath, re-center and re-focus.  This will allow your intuition to kick back in  and guide you safely through this situation. 
 
Remember:  This will probably NOT be the last time that your business goes through something like this.  The economy naturally goes through upswings and downswings.  If you want to build a business that lasts into the far future, you must learn how to build resiliency into your business against these swings.  And no time like the present!  So take this as a real-life learning opportunity to fortify your business…using Uncle Sam’s money.

0 Comments

Your comment will be posted after it is approved.


Leave a Reply.

    The mission of the Arlington Chamber of Commerce is to strengthen businesses and the economic environment for those who work, live and do business in Arlington.
    Picture
    Contribute to the blog!
    Educate the Chamber membership and Arlington business community by writing a post for our blog! To get started download the blog guidelines and blog template. For questions and more information, contact the Communications Manager.

    Archives

    March 2023
    February 2023
    January 2023
    December 2022
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018
    March 2018
    February 2018
    January 2018
    December 2017
    November 2017
    October 2017
    September 2017
    August 2017
    July 2017
    June 2017
    May 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    July 2016
    June 2016
    May 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    March 2015
    February 2015
    January 2015
    December 2014
    November 2014
    October 2014
    September 2014
    August 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013

    RSS Feed

© Copyright 2023 Arlington Chamber of Commerce. All rights reserved.
2009 14th Street, North  | Suite 100 | Arlington, VA 22201 | Directions
Tel (703) 525-2400 | chamber@arlingtonchamber.org
MemberClicks
Subscribe to This Week At Your Chamber
For Email Marketing you can trust.
Home | ​Join Now | Site Map