Hi everyone, I’m Scott Shaggy oka, I’m Go Daddy’s entrepreneur in residence, and I am here at my home sheltering in place and with government grants like the Paycheck protection program. I’Ve been thinking a lot about how small businesses can think about funding and cash flow, so we’re bringing together a group of experts who come from the world of financing the world of payment processing and the world of grant making to small businesses to share a little Bit of insight on how we, as small business owners, can think about this issue. So, first of I’m talking to David who’s, a senior director of global partner development at PayPal and they’re thinking a lot about how businesses can go online and how they can do their payment processing there as well awesome. Well thanks! So much for joining David thanks for your time, right now in the landscape across the u.
. small businesses are really struggling right now, and I was wondering if you could talk about the funding or the capital landscape right now. What does it look like and a lot of small businesses where any don’t have a cash flow to remain closed even for a couple of days, let alone four weeks, two weeks or months and so fundings challenging it’s always challenging in any economic downturn. And we saw that in in the prior one, which was 20 2008 financed it by sector. The good news is, I think, that the government’s around the world and in particularly nine states, they’ve learned from that crisis and they’ve acted and they’ve really acted to help small businesses this time and the key driver for the United States economy.
A very specifically for the cares, ah yeah and is acres Act. The only thing that cash-strapped businesses can look towards, or do you think that there’s other opportunities out there for funding outside of the Carrey’s act in PPP and some of the things we’ve all been hearing about? What we’re seeing is that a lot of small businesses, particularly those that have physical presence presentations, are reacting and adapting for the way the commerce is changing. So the first and most obvious thing is to accelerate what you’re doing online from Earth from a commerce perspective, but we’re also seeing an explosion of virtual services. So even things like yoga other consulting type products that business can can deliver through video conferencing and new forms of communication selling gift cards is a great way to consider getting cats like Navi, where the customers have online financing options.
Like PayPal, credit, the business gets the full amount of purchase. The shoppers pay for the qualifying purchase over time then wondering what’s the advice that you would give to small businesses who are thinking about cash flow right now and are there any dues or don’ts really there’s also an opportunity here as well, particularly for businesses that can Adapt quickly to basically what’s happening as an emergence of a new model for commerce, and so you know accelerating that migration to online that that is. I would, I would argue, the number one thing you should you should think about doing, and so at some point we will reopen and when we do, there’s gon na be a different type of buying behavior. That happens regardless of the regulations. Individuals are going to have taken something away from this.
This kovat crisis and they’re going to still have some anxiety about being close to one another being in crowded environments and in particular, touching you know, cached cash registers and things like that, and so you need to start preparing for that now. It’S a contactless delivery, curbside, pickup and touch-free payments so start thinking about investing in those types of things now so you’re ready for when, but when business is open that overlap. Thank you so much for your time really appreciate that yeah. Thank you so much so next up, I’m speaking with Carolyn from hello, Alice and they’re, a technology company that connects entrepreneurs and small business owners to a curated list of resources and opportunities that grow their businesses. Hi thanks for joining me really excited to talk.
Could you tell me a bit more about hello Alice and what it is that you do? Our goal at hello Alice is to make sure that every business owner, regardless of who you are where you live, where you come from, have the knowledge of the funding resources that are available to them and so we’re making sure that that you’re able to navigate through To grant opportunities that are out there, the federal funding opportunities that are out there venture capital bank loans all of this world of fancy. How can you make sure that you know what’s available that you know what’s right for you and that you actually know how to access it, and what do you think the landscape around funding is right now, funding is tough, regardless of the size of your company, but Particularly for small business owners, so we’re seeing things like the cares Act and the PPP program coming coming through. It’S sort of put everything else on hold with the banks and they’re fully focused on how do we deploy this federal funding? Everything from lines of credit to alternative financing that we’re seeing from all of the private markets has certainly slowed down a little bit as a result.
I think the general advice for everyone is conserved. Every dollar you can, because you don’t know where that next fit is gon na come from. Are there ways that small businesses can tap into new sources of funding outside of the PPP and the cares Act? We’Ve aggregated over 500 funding resources through our Cova 19 business center, which was definitely worth checking out, but there are a lot that are available specific to restaurant owners. We’Ve seen them pop up for artists, we’ve seen them pop up for entertainers and kind of gig economy, workers, lots of different pieces of the puzzle and so and of continuing to pop up all the time.
I think, as communities are becoming more aware of how specific businesses are starting to be affected by this. Alternatively, looking at things like crowdfunding seed companies, get you 20 or 30 thousand dollars or more that way, is there any advice you have for small business owners during this time, shelter-in-place obviously has been a massive upheaval for lots of different businesses, but what’s happening after, I Think companies need to have their heads kind of focus on that piece. Cuz. That’S the longer-term stay on top of what’s happening in your area, but really stay on top of what are the trends for places where that’s already been lifted, to see what’s happening and so starting to think through the remainder of 2020 and even into 2021? What is the strategy?
That’S gon na help bridge your company through a number one. How are you scaling back in every possible way and hopefully that’s already a conversation that you’ve met with your company and I’ve looked at number two is, you know, is there gon na? Be demand for your products or services right now, and if not, how can you pivot and adapt your company towards something that might be a little bit higher in demand thanks so much for your time. I really appreciate it. Thank you so much so next step.
I’M gon na speak to Christina from the Better Business Bureau in the Pacific Southwest region and they’re, offering grants right now. She’S gon na give us some perspective as a funder in the space on what small business owners can do. Thanks so much Christina for joining and taking time – and I heard you are offering grants and other forms of relief, could you talk about that during the crisis? We just went into full gear and we created the Main Street matters grant program to help. Some of these businesses stay afloat during this crisis.
So when you think about Main Street, you think about those small mom-and-pop shops, you know the barbers and the restaurants and the unique little shops. Maybe they applied for the PPP loan and didn’t get it or their businesses just didn’t qualify for any type of other grant or funding being an accredited business with the Better Business Bureau, isn’t one of the criteria, but we do vet the businesses as if they were Going to be accredited so ensuring they follow our eight standards of trust, which you know essentially just comes down to advertising honestly following you know proper licensing, maintaining a positive reputation. Things like that. What advice do you have in terms of how businesses can present themselves to you? Some of our suggestions are to really show us how you stand out in the community.
Let us know your story, that’s really something that we’re looking at. You know everyone needs support right. Now but show us how you’ve you know gone above and beyond in your come to really make a difference and are you experiencing any struggles right now as a funder? Definitely I mean there’s always a struggles for one. We we received within 48 hours over 600 applications and they definitely exceed our amount of funding available right now and then, additionally, just making those choices on who to fund.
You know you can’t help, but have your heartstrings pulled at every single one of these businesses. Everyone is in need, so that’s why those stories are really really important for us to understand the depth of your business and why it matters so much to you. Do you have any advice for small businesses regarding cash flow, just be very, very fiscally conscious watch where your cash flow is going, try to stay educated on what’s coming up next and be try to be prepared and be ahead of the curve? If you can, I was wondering what advice do you have to small businesses who might not fall in your jurisdiction? What would you tell them in terms of other opportunities?
They can look for we’re seeing new grants pop up all over the place. Right now, which is fantastic. Some of the cities are coordinating efforts. Some of the Chamber’s are coordinating efforts so just kind of research in you in your local area to see what funding is available but definitely be cautious on where you’re going – and you know, keep your information very secure. Coming from the Better Business Bureau, we want to make sure that everyone’s staying very protected.
I hope you stay safe and well. Thank you so much for having me. So this is a really challenging time for many small business owners and we’re all looking for new ways to think about funding to think about our cash flow, and I hope that this has provided some insight. Some inspiration for you as you move on this journey. I want to let you know that there’s a number of free resources for you like this available at open.
We stan org. You can also subscribe to this channel to stay up to date and you can comment on the video below. Thank you so much for your time and I hope you stay safe and I hope you stay well and I hope to see you next time. You Read More How I Made Over $ 1,000,000, Giving Away Free Stuff