Jeff Ream Posted January 11, 2023 Share Posted January 11, 2023 5 hours ago, keystone3ply said: The Paycheck Protection Program was set up with a forgiveness option if the requirements were met. As with all government programs, I'm sure there are several "hoops" to jump through to be forgiven. I'm sure there are many businesses & organizations that didn't navigate through the requirements with success? https://www.sba.gov/funding-programs/loans/covid-19-relief-options/paycheck-protection-program/ppp-loan-forgiveness And then all the companies exposed for gaming the system 1 Quote Link to comment Share on other sites More sharing options...
Slingerland Posted January 12, 2023 Share Posted January 12, 2023 (edited) There were other loans besides PPP available, and my guess is that SCV took advantage of the disaster relief loan (in addition to PPP, which were forgiven for pretty much everyone). The SBA loans were available at 2.75% interest over a 30 year period, making them attractive to anyone who thought they could use the funds and invest them into instruments or activities that would have a higher return rate. For me, it'd still be a no, since debt that isn't necessary is the first step on the road to ruin, but there ya go. Talking to folks who were at Indy last weekend, the general response was that SCV made a number of buying decisions that were not in their best interests (buying tractors for the equipment truck and cook truck was a bit of a head scratcher, given that they're only needed 9 weeks of the year), but also that they have assets which could/should be used to extricate them from the current situation. They need a re-set, starting with their Board and working thru the organization. Void all the contracts for show designers, pay off what's out there, and start fresh with business-minded people who get the concept of living within their means. But please stop blaming external factors for everything that went wrong, especially when there are others in the same areas who are making those same revenue machines work well. Edited January 12, 2023 by Slingerland 3 2 Quote Link to comment Share on other sites More sharing options...
IllianaLancerContra Posted January 12, 2023 Share Posted January 12, 2023 2 hours ago, Slingerland said: There were other loans besides PPP available, and my guess is that SCV took advantage of the disaster relief loan (in addition to PPP, which were forgiven for pretty much everyone). The SBA loans were available at 2.75% interest over a 30 year period, making them attractive to anyone who thought they could use the funds and invest them into instruments or activities that would have a higher return rate. For me, it'd still be a no, since debt that isn't necessary is the first step on the road to ruin, but there ya go. Talking to folks who were at Indy last weekend, the general response was that SCV made a number of buying decisions that were not in their best interests (buying tractors for the equipment truck and cook truck was a bit of a head scratcher, given that they're only needed 9 weeks of the year), but also that they have assets which could/should be used to extricate them from the current situation. They need a re-set, starting with their Board and working thru the organization. Void all the contracts for show designers, pay off what's out there, and start fresh with business-minded people who get the concept of living within their means. But please stop blaming external factors for everything that went wrong, especially when there are others in the same areas who are making those same revenue machines work well. This is spot-on for what SCV should do. But this is Drum Corps. There is a good chance they will #### it up somehow. 1 1 Quote Link to comment Share on other sites More sharing options...
troopers1 Posted January 12, 2023 Share Posted January 12, 2023 On 1/10/2023 at 4:14 PM, cixelsyd said: Why would a corps that resumed full operation in 2022 still have unforgiven PPP loans? I thought the point of it all was that the principal would be forgiven once the business got back up and running with their staff still in place. The forgiveness of the loan was essentially based only on proving the funds were spent for allowable (mostly payroll) expenses. It was very easy to obtain. 1 Quote Link to comment Share on other sites More sharing options...
craiga Posted January 12, 2023 Share Posted January 12, 2023 4 hours ago, Slingerland said: There were other loans besides PPP available, and my guess is that SCV took advantage of the disaster relief loan (in addition to PPP, which were forgiven for pretty much everyone). The SBA loans were available at 2.75% interest over a 30 year period, making them attractive to anyone who thought they could use the funds and invest them into instruments or activities that would have a higher return rate. For me, it'd still be a no, since debt that isn't necessary is the first step on the road to ruin, but there ya go. Talking to folks who were at Indy last weekend, the general response was that SCV made a number of buying decisions that were not in their best interests (buying tractors for the equipment truck and cook truck was a bit of a head scratcher, given that they're only needed 9 weeks of the year), but also that they have assets which could/should be used to extricate them from the current situation. They need a re-set, starting with their Board and working thru the organization. Void all the contracts for show designers, pay off what's out there, and start fresh with business-minded people who get the concept of living within their means. But please stop blaming external factors for everything that went wrong, especially when there are others in the same areas who are making those same revenue machines work well. This is the best post of the year so far....especially the final sentence. 3 Quote Link to comment Share on other sites More sharing options...
Jeff Ream Posted January 13, 2023 Share Posted January 13, 2023 13 hours ago, Slingerland said: There were other loans besides PPP available, and my guess is that SCV took advantage of the disaster relief loan (in addition to PPP, which were forgiven for pretty much everyone). The SBA loans were available at 2.75% interest over a 30 year period, making them attractive to anyone who thought they could use the funds and invest them into instruments or activities that would have a higher return rate. For me, it'd still be a no, since debt that isn't necessary is the first step on the road to ruin, but there ya go. Talking to folks who were at Indy last weekend, the general response was that SCV made a number of buying decisions that were not in their best interests (buying tractors for the equipment truck and cook truck was a bit of a head scratcher, given that they're only needed 9 weeks of the year), but also that they have assets which could/should be used to extricate them from the current situation. They need a re-set, starting with their Board and working thru the organization. Void all the contracts for show designers, pay off what's out there, and start fresh with business-minded people who get the concept of living within their means. But please stop blaming external factors for everything that went wrong, especially when there are others in the same areas who are making those same revenue machines work well. they don't want the designers to go elsewhere. Quote Link to comment Share on other sites More sharing options...
Tenoris4Jazz Posted January 13, 2023 Share Posted January 13, 2023 2 minutes ago, Jeff Ream said: they don't want the designers to go elsewhere. If they are willing to risk the viability of the entire operation just to keep their design staff, that tells me they needed to fail. There is a HARD reset needed in the attitude out there. 1 2 Quote Link to comment Share on other sites More sharing options...
Jeff Ream Posted January 13, 2023 Share Posted January 13, 2023 7 minutes ago, Tenoris4Jazz said: If they are willing to risk the viability of the entire operation just to keep their design staff, that tells me they needed to fail. There is a HARD reset needed in the attitude out there. could also be a contractual decision. Quote Link to comment Share on other sites More sharing options...
Tenoris4Jazz Posted January 13, 2023 Share Posted January 13, 2023 3 minutes ago, Jeff Ream said: could also be a contractual decision. Which would make the decision to buy the trucks even worse. Ugh... after 25 years of corporate finance, hearing about people doing these things just makes me want to start punching people left and right. Quote Link to comment Share on other sites More sharing options...
scheherazadesghost Posted January 13, 2023 Share Posted January 13, 2023 (edited) . Edited June 12, 2023 by scheherazadesghost 1 Quote Link to comment Share on other sites More sharing options...
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