Surly Thread of Business Owners/Managers, Etc. & Current Business Climate

[atomheartbevo 89626]

Vulcan Video closing for good.

https://www.austinchronicle.com/daily/screens/2020-04-07/vulcan-video-closes/

Quote

After 35 years we are closing the doors at Vulcan Video.

We opened when VHS was becoming a thing and we wanted an art house equivalent of Blockbuster. As lifetime movie lovers, this was a career that actually looked fun.

The first years of Vulcan we were actually a part of a poster store, Movie Art. After two years we became Vulcan Video on 29th Street, near the campus. To make a (very) long story short, it was great. Our second greatness was in South Austin at Elizabeth. Lovely. And now at Russell Drive, we come to this. High rent, online video, and then Corona Virus. Sounds like a movie villainess. Kind of is.

We simply cannot support extending our business into an uncertain future, even of several months.

Thanks to you, all our dear customers who literally made it possible, and to the Chronicle and the Statesman for your loving support, and to the many staffs over these years who have unselfishly shared their vast movie love on the front lines.

If you currently have movies rented from us stay posted on where to return them once it is safe to do so.

Bless you all and stay safe, 
Vulcan Video

Wife and I must have spent several hundred there back in the early 2000s.  

[cabowabo 4484]

Many, many thanks to MaclovioBrown.
My PPP loan is approved within 2 hours of sending him my information.  Dude is legit and a hero in my eyes.
Fuck you PNC.

Don't forget to send those pics you promised.

[Cheeseweasel 26438]

3 minutes ago, cabowabo said:

39 minutes ago, VABuckeye said:

Many, many thanks to MaclovioBrown.
My PPP loan is approved within 2 hours of sending him my information.  Dude is legit and a hero in my eyes.
Fuck you PNC.

Don't forget to send those pics you promised.

Everyone has their price

[Chewbacca 7766]

26 minutes ago, pacman said:

I have been small bank, credit union since 2002.

Wish folks would see the good it would do our country to decrease the capital available to the too big to fail banks.

The flip side is that a lot of small community banks can't offer loans big enough for a lot of businesses.  So you end up looking for a compromise where the bank is big enough to do the loans you need, but small enough that you matter as a customer.

[TexMex Horn 68]

1 hour ago, VABuckeye said:

Many, many thanks to MaclovioBrown.

My PPP loan is approved within 2 hours of sending him my information.  Dude is legit and a hero in my eyes.

Fuck you PNC.

Well crap. I've already applied through Chase & received a 05TX number. Can I still apply elsewhere?

[Brew 3049]

1 hour ago, Chewbacca said:

The flip side is that a lot of small community banks can't offer loans big enough for a lot of businesses.  So you end up looking for a compromise where the bank is big enough to do the loans you need, but small enough that you matter as a customer.

There is a bank for everyone, but many people are using banks that are too large for their needs. I just moved 3 clients from regional banks to the local bank our firm deals with and they all had approvals within an hour. They have been waiting on the regional bank all week. One of those clients has family members on the big bank board and still didn’t get anywhere. 

[Chewbacca 7766]

There is a bank for everyone, but many people are using banks that are too large for their needs. I just moved 3 clients from regional banks to the local bank our firm deals with and they all had approvals within an hour. They have been waiting on the regional bank all week. One of those clients has family members on the big bank board and still didn’t get anywhere. 

I agree with that. Just pointing out that small banks don't work for everyone. But i agree on staying away from the huge banks unless there is a compelling reason to bank with them.

[VABuckeye 2472]

All true but it appears that a small bank may be perfect for me and my needs. 

I've referred five other companies to Maclovio today.  All small like mine. 

[MaclovioBrown 100]

Much appreciate the refs Buckeye. All good people and I am enjoying getting to work with customers that this Falfurrias hick wouldn’t normally get to service. 

[MaclovioBrown 100]

2 hours ago, TexMex Horn said:

Well crap. I've already applied through Chase & received a 05TX number. Can I still apply elsewhere?

Spoke to another Chase applicant today who mentioned that number. It is an internal Chase tracker. The SBA app numbers are 8 numeric only digits. 
I’m happy to give it a shot for you. Worst case Chase will beat me to it and my upload will get rejected by E-Tran

[VABuckeye 2472]

9 minutes ago, MaclovioBrown said:

Much appreciate the refs Buckeye. All good people and I am enjoying getting to work with customers that this Falfurrias hick wouldn’t normally get to service. 

More coming.  You made a friend for life today.  Thanks again.

[Chewbacca 7766]

I officially have my SBA number.  That's a relief.  

[VABuckeye 2472]

Glad you got it.  Enjoy your weekend now.

[Wulaw Horn 19065]

I do t even have confirmation they are working on my loan. Pretty sure I’m getting hosed. Prosperity. 

[VABuckeye 2472]

Contact MaclovioBrown

Dude is solid as a rock.

Edited April 10, 2020 by VABuckeye

[Wulaw Horn 19065]

Just now, VABuckeye said:

Contact MaclovioBrown

Dude is solid as a rock.

I think it’s too late. Didn’t it have to be in by today? 

[VABuckeye 2472]

PPP loan?  You have until June 30 or until funds run out.  First come, fist served.

[T’Boo Ted Marshall 2732]

More coming.  You made a friend for life today.  Thanks again.

Love is in the airrrrr!

[pacman 7355]

2 hours ago, MaclovioBrown said:

Much appreciate the refs Buckeye. All good people and I am enjoying getting to work with customers that this Falfurrias hick wouldn’t normally get to service. 

Makes me wish we had a better networking board here. Think plenty of people could have helped each other over the years..

[Wulaw Horn 19065]

1 minute ago, pacman said:

Makes me wish we had a better networking board here. Think plenty of people could have helped each other over the years..

Agreed. 

[MaclovioBrown 100]

1 hour ago, Wulaw Horn said:

I do t even have confirmation they are working on my loan. Pretty sure I’m getting hosed. Prosperity. 

They’re just on overload. Send my way if you like, I will knock it out quickly. I am reading of banks already funding. We should have our loan form ready early next week and wiring out soon after.  Other banks might be sweating liquidity. Not an issue with us. PM’d my email

[cabowabo 4484]

Still unsure of forgiveness of debt requirements.  According to FAQ 20 of the attached, it seems like an employer needs to re-hire and immediately begin payroll payments to employees even if the business is closed.  But, I've also seen where employers have until June 30 to re-hire employees.  These seem to contradict each other.  Anyone know for sure how this works?

https://home.treasury.gov/system/files/136/Paycheck-Protection-Program-Frequenty-Asked-Questions.pdf

[VABuckeye 2472]

47 minutes ago, pacman said:

Makes me wish we had a better networking board here. Think plenty of people could have helped each other over the years..

Perhaps it’s time. 

[troph 24781]

Still unsure of forgiveness of debt requirements.  According to FAQ 20 of the attached, it seems like an employer needs to re-hire and immediately begin payroll payments to employees even if the business is closed.  But, I've also seen where employers have until June 30 to re-hire employees.  These seem to contradict each other.  Anyone know for sure how this works?
https://home.treasury.gov/system/files/136/Paycheck-Protection-Program-Frequenty-Asked-Questions.pdf

We are going to learn a lot over the coming f days. Sba and treasury are the umps here. We can claim the rule book on balls and strikes but the ump gets to call the game.

[VABuckeye 2472]

We haven’t furloughed anyone.  Our payroll is intact so we are good there. 

[Chewbacca 7766]

We haven’t furloughed anyone.  Our payroll is intact so we are good there. 

We are planning on rehiring some people, so I'd like to know what folks think as well. I thought they had to be on the payroll on 6/30, to qualify, is that wrong?

[Wally Pryor 5261]

6 hours ago, VABuckeye said:

Many, many thanks to MaclovioBrown.

My PPP loan is approved within 2 hours of sending him my information.  Dude is legit and a hero in my eyes.

Fuck you PNC.

Awesome.

[T’Boo Ted Marshall 2732]

Makes me wish we had a better networking board here. Think plenty of people could have helped each other over the years..

Lots of us have done business together, but a formal board may be a good idea.
I’m game.

[Wulaw Horn 19065]

4 hours ago, MaclovioBrown said:

Spoke to another Chase applicant today who mentioned that number. It is an internal Chase tracker. The SBA app numbers are 8 numeric only digits. 
I’m happy to give it a shot for you. Worst case Chase will beat me to it and my upload will get rejected by E-Tran

So, did you not have to apply by today?  Did I get that wrong? 

[Brew 3049]

Just now, Wulaw Horn said:

So, did you not have to apply by today?  Did I get that wrong? 

No, it just opened up for self-employed today.

[Wulaw Horn 19065]

1 minute ago, Brew said:

No, it just opened up for self-employed today.

Yeah but I’m not talking about self employed- I’m talking about a PLLC that I own but want to get payroll for (4 employees). 

[VABuckeye 2472]

PPP loans are still open.  

[Brew 3049]

14 minutes ago, Wulaw Horn said:

Yeah but I’m not talking about self employed- I’m talking about a PLLC that I own but want to get payroll for (4 employees). 

It is still open. There was a delayed opening for SE. Anyone can apply now.

[G650 14235]

10 hours ago, VABuckeye said:

We haven’t furloughed anyone.  Our payroll is intact so we are good there. 

Same boat here

[G650 14235]

10 hours ago, T’Boo Ted Marshall said:

Lots of us have done business together, but a formal board may be a good idea.
I’m game.

Indeed

[deadshank 24652]

10 hours ago, Dr. Beeper said:

Prosperity is a fucking terrible bank. 

They're pretty good for construction loans.  Beyond that you may be correct. 

[Incredulity 11650]

Couldn’t  “HELP” essentially work as a networking board?

[Lidig8r 1870]

So, the Significant Other has been an independent jeweler for over 30 years. Few employees. Applied for PPP loan last Friday at Chase (we are in Dallas).

The PPP loan was for a bit less than $20K.

Just got word this morning that loan was approved and would be deposited in her bank account within 3 business days.

I wonder if Chase is going to knock out a ton of the smaller PPP loans so they can market how successful they are in funding.

[VABuckeye 2472]

They make a higher origination fee on the smaller loans.

 

Loans up to $350k   - 5% fee

Loans $350k - $2M - 3% fee

Loans over $2M  - 1% fee

Five $200k loans nets the bank $50000 in fees.  One $1M loan nets the bank $30000 in fees.

Edited April 11, 2020 by VABuckeye

[zork 629]

NYT semi-quantifies what is going on in the business world:(lots of graphs and charts, myfetish.jpg)

https://www.nytimes.com/interactive/2020/04/11/business/economy/coronavirus-us-economy-spending.html?action=click&module=Top Stories&pgtype=Homepage

[Reagan1k 3024]

My banker is working on Easter Sunday.  
Just sent me notice I’m SBA approved and all done for my two companies.   

[Errestaurants 2570]

On 4/10/2020 at 8:14 PM, Chewbacca said:

On 4/10/2020 at 7:47 PM, VABuckeye said:

We haven’t furloughed anyone.  Our payroll is intact so we are good there. 

We are planning on rehiring some people, so I'd like to know what folks think as well. I thought they had to be on the payroll on 6/30, to qualify, is that wrong?

That is our take on it. How many are on your payroll by 6/30. 

[ChiTownDoc 21142]

On 4/10/2020 at 3:59 PM, Chewbacca said:

On 4/10/2020 at 3:47 PM, Brew said:

There is a bank for everyone, but many people are using banks that are too large for their needs. I just moved 3 clients from regional banks to the local bank our firm deals with and they all had approvals within an hour. They have been waiting on the regional bank all week. One of those clients has family members on the big bank board and still didn’t get anywhere. 

I agree with that. Just pointing out that small banks don't work for everyone. But i agree on staying away from the huge banks unless there is a compelling reason to bank with them.

I'm jealous of those that can bank with smaller banks.  We are in 30ish states, just not an option.  Big banks are the worst. 

[ChiTownDoc 21142]

We went ahead and applied.  Even though we are a portfolio company for PE we were told to apply.  I'm sure not gonna bitch because we sold 16 months ago and I have a hell of a lot less stress owning 25% of this vs 100%.  Who the hell knows where this goes? 

We did get 1.2M from the CARES act.  That seems like a lot but we have well over 100 physicians who will share in that as independent contractors.  We also have dozens of PA's and NP's who make over 100k and are hardly able to work in many instances.  We have not laid off or furloughed anybody so if any of this is looked at we should qualify...again, other than PE affiliation  

The other portfolio companies are in more danger.  At least we are working  even though many areas are slow and many providers unable to work due to COVID risk. There's dermatology, ophthalmology and GI groups that are really in a world of hurt.  For us, with the 1.2M plus loan forgiveness, if we get it, we'll actually be in decent shape which 90% of the country can't say.  

[troph 24781]

I actually think the PPP loan will be enough for the vast majority of businesses, but hospitality, travel, leisure and brick and mortar retail it’s ill timed and likely not enough. They can’t spend it in 8 weeks because rehiring makes no sense right now. That means it’s not going to be forgivable to the businesses hardest hit.

[ChiTownDoc 21142]

1 minute ago, troph said:

I actually think the PPP loan will be enough for the vast majority of businesses, but hospitality, travel, leisure and brick and mortar retail it’s ill timed and likely not enough. They can’t spend it in 8 weeks because rehiring makes no sense right now. That means it’s not going to be forgivable to the businesses hardest hit.

There will have to be provisions where businesses can 'freeze' the loan and not take it on/start paying interest...otherwise this shit will cause more problems than it fixes.  I'm talking if/when shelter in place is extended past May 1 and towards June.  

[Chewbacca 7766]

I'm jealous of those that can bank with smaller banks.  We are in 30ish states, just not an option.  Big banks are the worst. 

Agree. Back in my real estate days, we had to use big banks because we needed big loans. Hated dealing with them.

[VABuckeye 2472]

3 hours ago, troph said:

I actually think the PPP loan will be enough for the vast majority of businesses, but hospitality, travel, leisure and brick and mortar retail it’s ill timed and likely not enough. They can’t spend it in 8 weeks because rehiring makes no sense right now. That means it’s not going to be forgivable to the businesses hardest hit.

I get what you’re saying but it’s hitting all of us hard.  What it does for me is allow me 60 days to build my pipe of receivables back up.  It’s not a small task as I’m a boots on the ground company.  I have to win a project, fund it, complete it, invoice it and then wait 30-45 days to get paid. This, hopefully, allows me to be able to broaden that gap.  Fingers crossed. 
 

On a positive note we have received SOWs and RFQs from a couple of data centers and we’re hearing that the National Gallery of Art may open up for contractors to resume work on May 1.   That would be huge for us as it’s a multi-year project with recurring revenue every month when it’s open for work. 

Edited April 13, 2020 by VABuckeye

[VABuckeye 2472]

Edit fr above:  I said broaden the gap.  I meant bridge the gap.

[Reagan1k 3024]

8 hours ago, VABuckeye said:

I get what you’re saying but it’s hitting all of us hard.  What it does for me is allow me 60 days to build my pipe of receivables back up.  It’s not a small task as I’m a boots on the ground company.  I have to win a project, fund it, complete it, invoice it and then wait 30-45 days to get paid. This, hopefully, allows me to be able to broaden that gap.  Fingers crossed. 
 

On a positive note we have received SOWs and RFQs from a couple of data centers and we’re hearing that the National Gallery of Art may open up for contractors to resume work on May 1.   That would be huge for us as it’s a multi-year project with recurring revenue every month when it’s open for work. 

This is no small point in the overall discussion of what the recovery will look like.  For many companies / industries, there is work TODAY as we are still picking fruit from projects planted months before the 'rona hit.  When the slowdown will manifest is in the months to come when there is nothing in the pipeline due to stoppages in project development.

Some of the economy will bounce right back where there is immediate demand, but there are are going to be gaps where there is a break in the work cycle and nothing can fill that but time.