While businesses have patiently awaited the lifting of closure orders associated with the pandemic, the uncertainty of business recovery looms as state and local governments begin easing closure restrictions. What will business look like in the post-closure world? How long will it take for business to recover? These are amongst the most pressing questions facing businesses today.
If your business had little or no debt, your business may be OK, although beaten and bruised by the experience. However, most businesses are not in that position and have financed their operations with some measure of debt, whether with secured lenders or unsecured trade creditors.
You may be fearing the necessity of a discussion with your business lender. Perhaps you are now in violation of loan covenants with your bank. Vendors may no longer offer extended terms and will put increased pressure on your business to pay outstanding invoices. Some vendors may only deliver products or services if you prepay. And even if you do not have those concerns, you may have suppliers that are now financially unstable and unable to meet the needs of your business.
You shouldn’t assume that these problems will go away of their own accord. Proactively addressing these issues will put you ahead of the curve (whether flattened or not). We can help, as we have numerous BrownWinick attorneys with substantial experience handling these complicated problems. Reaching out sooner rather than later will benefit any stressed business and could help avoid a business bankruptcy, as these problems generally only get worse with the passage of time.
One of our law partners is famous for saying that the first rule of business is survival. In these times it may also be the second, third and last rule of business. Let us help you address your business survival needs – for the benefit not just of your business, but of your owners, employees and the communities in which you operate.
For updates on COVID-19 and new guidance provided by BrownWinick attorneys, please visit our COVID-19 Resource Page.