Category Archives: Banking

SBA Disaster Loans

Most U.S. businesses, except the very large, are eligible to apply for Covid 19 – related SBA Disaster Recovery Loans. There are two major initiatives: 1) Economic Injury Disaster Loans (EIDL) – keeping businesses viable by operating expense and debt payment loans, and; 2) Paycheck Protection Program (PPP) – protecting employee staff count and payroll contributions by loans to fund these costs as well as building and utility expenses. It’s beyond the scope of this post to discuss the considerable detail associated with these initiatives. Businesses are eligible to apply for both loans. Check for more details.

Crowdfunding and the JOBS Act

Crowdfunding as it relates to business investment solicitation is an outgrowth of more philanthropic-inspired crowdsourcing. Such initiatives, typically, seek via the internet, funding for projects from others. The Jumpstart Our Business Startups Act (JOBS) was signed into federal law in April, 2012 with the aim of creating more small business investment opportunity for companies that could then add jobs to boost the economy. To date, final SEC regs pertinent to businesses soliciting non-accredited investors over crowdfunding platforms have not been finalized. October 31, 2013 is the established deadline.

JOBS Act rules being formulated relate to accounting methods, owner compensation, investment parameters, and other material business background information that might influence crowdfunding investor decisions. Generally, much less disclosure is required than in a more traditional IPO prospectus process so the legislative concern is that there can be more risk involved for those that might contemplate such an investment. Conversely, over-regulation can stifle smaller initiatives unable to satisfy any new requirements. In the meantime, entrepreneurs wait as they continue to experience tepid loan appetites from banks and other traditional lending sources.

NFC Digital Wallets – Can This Technology Attract New Customers?

While so-called POS digital wallets, such as Google Wallet, using near field communication (NFC) are still relatively new, it’s another opportunity for businesses to grow their customer base, add value, and differentiate themselves from competitors.

Digital wallets, for now, are largely NFC-enabled Android smartphones or tablets that allow customers to pay using pre-established debit and credit card account information by tapping or bringing their mobile device into close proximity to an NFC device at a check-out station. There’s no need for the customer to pull a card, swipe it, sign the receipt, and the like.

As an example, a dry cleaner the other day indicated that they wanted to attract more and younger customers. This POS capability could combine the payment processing speed of NFC with the marketing potential for promotional offers and loyalty program capture. Similarly, NFC has many other ecommerce and plastic card information storage applications beyond payment processing. A personal medical history could be accessed at a doctor’s office just as readily, for example.

Along with scannable Quick Response Codes (QR), those odd-looking black postage stamp-like images you see in magazines that are used for marketing and advertising, there’s a lot to consider before you decide if these initiatives make sense for your business. Some research on your part will help you decide, if and when, these capabilities are accretive to your sales planning. Websites such as,, and can help you learn more.