Author Archives:
Erin Carter

As the end of the year quickly approaches there are only a few weeks left before the holidays. For many Atlanta businesses, this is a time to analyze financial performance, review operational benchmarks, assess vendor relationships, review financing and credit opportunities, and outline a path forward in 2021. There is little doubt that many plans for 2020 were interrupted by the COVID-19 pandemic requiring mid-year adjustments.

The COVID-19 pandemic created a host of new challenges and issues never before experienced by Atlanta business owners. It started with forced business closures and stay at home orders and has transitioned to new safety protocols, limits on gathering sizes, and more. Many businesses have elected to transition to a remote work environment to protect against virus transmission. Despite these measures,  it was recently reported the seven-day rolling average of new Coronavirus cases has increased 42% since October 2nd which likely means additional restrictions.

The COVID-19 pandemic has created a bevy of operational issues and financial challenges for Atlanta nonprofits. The combination of forced closures and stay at home orders left many organizations unable to stay connected to the community, deliver needed services, or hold traditional fundraising events. Almost immediately, nonprofits had to make difficult financial decisions about which programs could be continued, but also whether staff could be retained. Over the months since the pandemic arrived, many have focused on building up the organization’s financial position by moving traditional fundraising events online and leveraging various loan and grant programs.

As plan sponsors are quickly approaching the October 15th filing deadline the focus is on taking care of last-minute details with the plan auditor. Ensuring all questions are answered and any last-minute information is provided is essential in the final weeks. Once the deadline passes, plan sponsors will then focus on ensuring compliance with the changes mandated in the SECURE and CARES Act by the end of the year.

The SECURE Act implemented in late 2019 and the CARES Act which passed earlier this year outlined several changes to how retirement plans are required to operate. While adoption of certain changes is optional, others are not, requiring the plan sponsor to make plan document amendments.

The COVID-19 pandemic has had a significant impact on Atlanta area businesses. The forced business closures which triggered an immediate and unexpected drop in revenue to the challenges of reopening while cases surged across Georgia. New terms such as social distancing and personal protective equipment have become part of the daily conversation. Benefit plan sponsors have also had to react to the various changes implemented by the CARES Act such as increased participant loan limits, Coronavirus Related Distributions, and a waiver of Required Minimum Distributions (RMD) in 2020. Although helpful, the changes have required plans to modify how they operate, and in some cases, adopt new plan amendments to maintain ERISA compliance.

Congress has been busy over the last few weeks working to agree on new legislation to extend COVID-19 relief to businesses and individuals. There are two competing pieces of legislation which include the HEROES Act passed by the House and the HEALS Act passed by the Senate.

The COVID-19 pandemic has taken its toll on Atlanta businesses and residents. The initial round of forced business closures and stay at home orders required many businesses to terminate, furlough, or reduce employee hours. Driven mainly by reduced demand for products and services these changes were needed to ensure many businesses could survive. Since the restrictions were lifted and businesses reopened many former employees were rehired.

The COVID-19 pandemic has significantly impacted both individuals and businesses. The various regulations designed to curb the spread of the coronavirus has impacted nonprofits in ways that were impossible to predict. Over the past few months, statewide restrictions on large gatherings combined with stay at home orders have left many cut off from essential fundraising activities.

The impact of COVID-19 protection measures including the stay at home orders, forced business closures, and general uncertainty about prevention, left many businesses and nonprofits in a compromised position.