There may be some light on the horizon, after all. I heard from a
I have always maintained that in many instances, hose inexperienced restaurant owners who know little about the business are usually the firs to go in tough times. And although this is tragic- as we all hate to see a fellow foodie fail – it does make them stronger the next time around as they emerge from the spoils with a different outlook and a cheat sheet filled with hindsight notes on what to never do again.
My Frisco connection did convey another interesting story. With the current decrease in interest rates his Small Business Administration (SBA) statement reflected a substantial decrease in his monthly payment- on one of his loans. On the other loan, which was also an SBA backed situation, the monthly payment wasn’t lowered at all. As a matter of fact it still reflected the amount charged during the last increase.
When he called the SBA offices they told him that he amount on the statement was the amount he “agreed to pay” and that although the interest rate had decreased his payment was not going to be adjusted.
There is no need to go into his response as we can all, even though few readers know him, imagine the verbiage used to express his discontent and feelings. After a lengthy conversation with the supervisor in charge of screaming restaurant owners the SBA agreed to adjust the monthly payment. The adjustment was substantial and relieved a lot of pressure on the owner.
Sometimes in the stress of the moment the distractions we are dealing with prohibit us from paying attention to details. Go through your bills with the microscopic efficiency of a scientist.
We all become victims of habit. A book keeper or account who doesn’t know the adjustable interest clause in a contract, whether it’s an SBA loan, an equipment lease, or a mortgage payment on your building, could be spending a lot of money without actually needing to.
Check you contracts. Compare them o your interest rates and then calculate what your payment should be. You may be surprised at the savings.