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PPP loans and start ups? A retirement investment question
PickleRick
Member Posts: 3,886 ✭✭✭✭✭
Had a customer tell me he funded his start up buisness with the ppp loan. He rents scooters/bikes to trail riders. Pays rent to an empty lot with nothing but a small rent to own storage building sitting on it. Big hit since covid has people wanting to be outside.
Was considering a business investment, but with a vacation rental or possible local commercial or duplex rental investment. The idea of business expenses being forgivable on the loan is intriguing but internet into is contradicting and the more reputable sites say some of the parameters have changed.
I want to make more money but want to do so in my sleep. Other than the accounting department I want it to be hands off. Not sure what the guide lines are or what it intels. Id want to set the property up as possibly an LLC or put properly in my name and lease it to the business for rentals. Looking at something that will appreciate in value, being in enough income to cover the buisness expenses without me coming out of pocket. Im not looking for a replacement for my full time job. Id like the buisness assets to be separate from my personal assets in case someone slips in the shower and wants to sue.
So any of you rinker guys have any suggestions or can point me to an expert? I realize some of this is tax expert area and other will be along with business licensing. I'm not for govt hand outs but being that I've paid in for past 25 years I figured I'd see if I can't grab a little bit of the free cake that's being passed around.
Was considering a business investment, but with a vacation rental or possible local commercial or duplex rental investment. The idea of business expenses being forgivable on the loan is intriguing but internet into is contradicting and the more reputable sites say some of the parameters have changed.
I want to make more money but want to do so in my sleep. Other than the accounting department I want it to be hands off. Not sure what the guide lines are or what it intels. Id want to set the property up as possibly an LLC or put properly in my name and lease it to the business for rentals. Looking at something that will appreciate in value, being in enough income to cover the buisness expenses without me coming out of pocket. Im not looking for a replacement for my full time job. Id like the buisness assets to be separate from my personal assets in case someone slips in the shower and wants to sue.
So any of you rinker guys have any suggestions or can point me to an expert? I realize some of this is tax expert area and other will be along with business licensing. I'm not for govt hand outs but being that I've paid in for past 25 years I figured I'd see if I can't grab a little bit of the free cake that's being passed around.
Comments
Personally, I wouldn't try to exploit the PPP program. But then, I don't smoke, and I don't wear orange, which are the two things people do in federal prison.
I'm debt free minus the few pennies I owe on the bayliner purchase. The selling of the rinker paid half that off. Im anxious to invest in beach property so by the time I'm retired its paid off. Sadly it's not a buyers market...i have money but it's a depression purchase budget not record home sales in the south east budget.
Insofar as PPP, I know a guy who got a massive loan and used it to primarily invest in a business that didn't exist prior. His securing it was legitimate. Instead of pulling out of savings and earnings to pay payroll, he covered it with the loan as its intended. He was/is established enough to not have greatly suffered from the pandemic or at least place him in any kind of financial jeopardy, but just as legally qualified as anyone to have access to it.
Meanwhile, I'll be going back to work soon. I started my own business (well, full time) in June of 19... happily it followed the trajectory anticipated until... covid... and have been struggling since. So. No retirement for me! And, no PPP as there are no substantial records to indicate loss compared to prior years returns.
Luck, gents... some have it in spades... some have it not at all.. some, like me, have it in every way except the cash drawer.
I haven't missed a day of work since covid began other than planned vacation days.
If i could secure a loan big enough id buy a home in the Florida and let a property manager run it. I just need it to break even every year, I don't need a profit although i wouldnt be upset if it did. Getting about 3k a week for vacation rentals isn't a bad gig.
Read: theyre going to hook up their buddies either literally or via political favor. I failed to mention the guy spoke of before is a big deal in a particular party here locally. As always, there will be a few on the other side to create optics of fairness. Meanwhile, fairness would have been to allow businesses who wished to remain open to have remained open. I mean, we're free men, no?
I once swore an oath to protect this nation from her enemies, and I've bled more than most doing that... ive also made ghosts in that same endeavor. Now, I hope to protect my family from what this nation has become. THAT much has changed in the last 20 years.... we're now reliant on govt funded loans to establish or maintain lifestyles and while watching those without connection or affiliation drift another gap with little hope. This is not the republic I once knew. It is operated more like a crime syndicate than a collection of free men with opportunities whether those opportunities are harder or easier than others opportunities.... at least there was still am opportunity.
I did see where the news was (maybe ny post) showing where covid was devouring people in India yet the euro news station had posted the exact same pic but the story was about a massive gas leak taking lives.
So anyway, uncle Joe isn't making me rich. But neither did Trump or Obama or baby Bush or Clinton.