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The impact of the COVID-19 forced business closure and stay at home orders have created difficult conditions. Almost overnight businesses were forced to endure significant changes to their business model which came with difficult decisions about expenses, employees, and the future. While much of the attention has focused on the retail, restaurant, and hospitality industries the construction industry was also sharply impacted.

The arrival of the COVID-19 pandemic made significant changes to daily life through forced business closures, stay at home orders, and heightened fear of contraction. The convergence of these changes left many businesses forced shut and others with an altered business model and a dwindling demand for products and services.

After months of enduring forced business closures and stay at home orders, there appears to be light at the end of the tunnel. While Georgia was one of the states that started the reopening process earlier than most it has been a slow journey to “normal”.

On May 21, 2020, a new DOL Final Rule (the Rule) was approved which permits employers to post relevant disclosures online or deliver to employees through emails, as a default. This change is expected to make it easier and less costly for employers while making important information easily accessible for employees.

As the COVID-19 emergency measures phase-out and the state continues to reopen, contractors and construction companies are looking to position themselves for the future. While there are many considerations that need to be made to comply with state and local guidelines, management is also spending time reviewing cash flow strategies.

The Paycheck Protection Program (PPP) has been an effective tool in helping Atlanta and Georgia businesses manage cash flow and working capital during the COVID-19 pandemic. In fact, the Small Business Administration (SBA) reported on May 31st they have issued more than 136,000 loans totaling more than $13B. These numbers are stunning and also reflect the immediate need faced by borrowers.

From the start of the COVID-19 emergency, it was clear the stay at home orders and forced business closures would have a punishing impact. The abrupt changes to operating rules combined with fear of virus transmission left many with dwindling demand for their products and services. Without a consistent source of revenue to pay employees and offset other expenses, very difficult decisions had to be made to ensure the business could survive

After several months of enduring unexpected forced business closures and stay at home orders, state and local governments are executing their plans to gradually re-open businesses and jumpstart the economy. This is a welcome relief for many who were unable to operate and those who have had to significantly adjust operations during the emergency. Regardless of their situation, this is welcome news for Atlanta businesses that have been patiently waiting to serve customers and clients. As businesses open their doors again there will be new challenges, restrictions, and rules that must be addressed.

Right before the Memorial Day weekend, Treasury issued an updated Interim Final Rule on loan forgiveness requirements (the Rule). The updated rule includes information about the Alternative Covered Period, bonuses and hazard pay, full-time equivalent (FTE) reductions, and more.

For businesses not directly impacted by the COVID-19 forced business closures, there have been a number of necessary changes to maintain operations. Restaurants have had to shift from a dine-in experience to delivery or curbside pickup model, manufacturing companies have adjusted supply chains while others have transitioned to a remote workforce environment. Virtually overnight some employees were terminated, some forced to accepted significantly fewer hours and others faced the new challenge of working from home.