Each month we will be posting an overview article that covers our recent company articles, announcements, and insights. Below is for the month of May.
How to Protect Against Inflation in 2021: A Guide for Commercial Lenders
The news is filled with articles on inflation – either warning us inflation is imminent or telling us not to worry. While politics and the news from day to day address the topic of inflation with a degree of hysteria, companies and their lenders need to be aware of the possibility of inflation and work to understand the impacts and minimize the risk to financial performance.
A business cannot operate in a constant state of fear about outside influences. But a business can develop strategies for monitoring impacts and for dealing with uncertainty.
Read more about those strategies to protect against inflation below!
Employee Retention Credits Are a Potential Source of Immediate Liquidity
A business operating during January 1, 2021 through June 30, 2021 may be eligible for the Employee Retention Credits (“ERCs”), which would be an immediate source of liquidity for a qualifying business.
ERCs are available to business that experienced either:
A full or partial suspension of operation of the business due to government orders limiting commerce, travel or group meetings as a result of Covid-19.
Or,
A quarter over quarter reduction in gross receipts when comparing 2019 to 2021.
Read for more info about ERCs below!
How Can Companies Deal with Labor Shortages?
With more people unemployed than jobs available, businesses should be able to find employees. But many are expressing concerns about hiring and maintaining a necessary work force. Why?
What can you do to entice new hires and maintain existing staff members?
Click the article below to learn more!
How Much Liquidity Did the PPP Facility Pump into the Economy?
As of May 10, 2021 the Payroll Protection Program provided over 10 million PPP loans with a total value of $782 billion. From January 1, 2021 to May 10, 2021 the PPP provided 5.7 million loans with a total value of $260 billion.
These are some staggering amounts of liquidity pushing into the economy by the government!
FMG Industry Analysis: How do Tier 1 automotive suppliers deal with the changing vehicle market?
The impacts of Covid-19 on the automotive industry have accelerated and intensified changes already underway in the industry.
From 2015 to 2019 the number of new vehicles sold in the US had been between 17 and 18 million vehicles. In 2020 the industry experienced a 15.83% decline to 14.7 million vehicles. The monthly new vehicle sales from January to March 2021 returned to the pre-Covid levels of 2019, but April volume was higher than 2020 yet did not reach 2019 levels.
What has that experience taught us about the future? And, what industry influences are continuing?
Read more below!