UPDATE: the webinar dates have passed, but the City of Chicago has made most of the recordings available for viewing, and on the BACP Business Re-Opening Portal.
To view Reopening Chicago: Retail Service, click here. To view Reopening Chicago: Food Service, click here. To view Reopening Chicago: Health and Fitness,click here. To view Reopening Chicago: Personal Services,click here. To view Overview of Chicago’s Reopening Plan for Businesses (Spanish), click here. To view Overview of Chicago’s Reopening Plan for Businesses, click here.
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BACP will be holding a series of webinars to prepare Chicago’s businesses for reopening under Phase 3 of the Protecting Chicago framework.
Specific Industry Webinars:
Monday, 6/1 at 3:00 PM Webinar Reopening Chicago: Personal Services This webinar will provide an overview of the industry guidance for Personal Services such as hair/nail salons, barbershops, tattoo parlors, as they prepare to reopen in Phase Three. Click here to register for the Monday, 6/1 Webinar.
Tuesday, 6/2 at 12:00 PM Webinar Reopening Chicago: Health and Fitness This webinar will provide an overview of the industry guidance for Health and Fitness Centers as they prepare to reopen in Phase Three. Click here to register for the Tuesday, 6/2 12:00 PM Webinar.
Tuesday, 6/2 at 4:00 PM Webinar Reopening Chicago: Food Service This webinar will provide an overview of the industry guidance for Food Service establishments, such as restaurants and coffee shops as they prepare to reopen for outdoor dining in Phase Three. Click hereto register for the Tuesday, 6/2 4:00 PM Webinar.
Wednesday, 6/3 at 12:00 PM Webinar Reopening Chicago: Retail This webinar will provide an overview of the industry guidance for Retail Stores as they prepare to reopen in Phase Three. Click hereto register for the Wednesday, 6/3 Webinar.
Thursday, 6/ 4 at 4:00 PM Webinar Reopening Chicago: Commercial Buildings This webinar will provide an overview of the industry guidance for Commercial Buildings as they prepare to reopen in Phase Three. Click here to register for the Thursday, 6/4 Webinar.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
The Chicago Department of Business Affairs and Consumer Protection is no longer offering their usual onsite workshops, but they are announcing a few virtual ones — not a whole month at-a-time, so I’ll just append this post as I learn of new ones. Here’s what we know about so far.
Wednesday, 5/13 at 3:00 PM Webinar Protecting Yourself Against Business COVID and Cybersecurity Scams – Stop Perpetrators in Their Tracks Presented by the Better Business Bureau of Chicago and Northern Illinois and Sagin IT Services/Data Protection and Network Security
Better Business Bureau of Chicago and Northern Illinois and Sagin IT Services/Data Protection and Network Security will team up for “Protecting yourself against Business COVID and Cybersecurity Scams – Stop Perpetrators in their Tracks.”
Click here to register for the Wednesday, 5/13 Webinar.
Thursday, 5/14 at 9:30 AM Webinar Paycheck Protection Program & Other SBA Resources for Small Businesses Presented by the SBA Public Affairs Specialist Jessica Mayle
If your small business has been impacted by coronavirus, join this free online training to learn more about serveral funding programs to address the COVID-19 outbreak, including the Paycheck Protection Program. We’ll discuss eligibility requirements, how to find a lender, and timelines for disbursement. Bring your questions.
Click here to register for the Thursday, 5/14 Webinar.
Friday, 5/15 at 9:30 AM Webinar Manage Your Business Remotely Presented by JinJa Birkenbeuel, Birk Creative, A Certified Grow With Google Partner
In this live class, I will share the free and easy to access Google tools that can help you stay productive no matter where you are. In this session we’ll show you how to: – Update your customers with critical business information through your Business Profile, Google Ads, and your website. – Communicate remotely with your customers and employees with tools like Google Meets and Gmail, and how to access and collaborate on files with your team through Google Drive. – And we’ll share next steps and resources available to help you manage remotely.
Wednesday, 5/20 at 3:00 PM Webinar A Focus on Empathy: Storytelling in Branding Presented by Adam Arcus, VP, Creative at 1871
Learn the importance of storytelling in branding that engages empathy alongside design, multimedia, and copywriting with Adam Arcus, VP, Creative at 1871. Take away tangible and actionable methods on how to lead with empathy as a business in order to connect with your customers during the Coronavirus Pandemic including: memory making science, multimedia storytelling made simple, and the importance of narrative in a brand.
Click hereto register for the Wednesday, 5/20 Webinar.
Friday, 5/22 at 9:30 AM Webinar Small Business Capital and Coaching During the Recovery Presented by Accion Serving Illinois & Indiana
As Chicago’s economy starts to reopen, how can your business be best prepared? Join this presentation, with moderated Q&A after, in which Accion Serving Illinois & Indiana CEO Brad McConnell will discuss capital and coaching options for small business during the COVID-19 recovery period.
Click here to register for the Friday, 5/22 Webinar.
Wednesday, 5/27 at 3:00 PM Webinar Transform Your Dream Into a Real Startup Presented by Score Chicago
Do you have what it takes to start and run a successful business? If so, do you know what the start-up journey is like? Or what initial steps you need to take? This webinar will help you assess your prospects, give you the initial direction you need, and inspire you to move forward to realize your dream. The webinar will also cover pricing, promotion, competition and marketing to give you a competitive edge. Topics Covered in the Start-up Webinar: · Identifying Successful Traits · Assessing Your Journey · Navigating Organization and Regulations · Gauging Market Potential · Avoiding Failure
Click here to register for the Wednesday, 5/27 Webinar.
Friday, 5/29 at 9:30 AM Webinar Marketing Strategy and Tactic Presented by Chimbly Consultants
Are you wondering what a marketing strategy can look like? Are you interested in learning about how marketing tactics are connected to strategy? In this workshop, Francisco Ramirez from Chimbly Consultants will cover the basics of marketing starting with strategy. Participants will leave with an understanding of the importance of marketing strategy and what tactics to use and measure to be successful in business.
Click hereto register for the Friday, 5/29 Webinar.
To view the Paycheck Protection Program & Other SBA Resources for Small Businesses, click here.
To view the Resources Small Businesses During the COVID Pandemic, click here.
To view the Navigating the New Stay at Home Order, click here.
To view the Workers’ Rights and Resources During COVID-19 webinar-Spanish, click here.
To view the Workers’ Rights and Resources During COVID-19 webinar-English, click here.
Partner Webinars:
To view the Coronavirus (covid-19): Small Business Guiance & Loan Resources by The Small Business Administration (SBA),click here.
To view Coronavirus (covid-19) Small Business Guidance & Loan Recovery for Sole Proprietors by The Small Business Administration (SBA),click here.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
I have a lot of small business clients in retail and services that could use some assistance pivoting their offerings online, and am hoping this webinar can provide a jumping-off point.
Presented by World Business Chicago – Join 37 Oaks Consulting, ChiBizHub, World Business Chicago and City of Chicago Business Affairs & Consumer Protection (BACP) for an informational webinar to help inspire you on ways you can shift, move or elevate your business to an e-commerce model.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
From the Chicago Department of Business Affairs and Consumer Protection, April 27th, 2020:
On Thursday, April 23rd, Governor Pritzker announced an extension of the Illinois Stay at Home Order to the end of May. Under this extension, there will be important modifications to the Stay at Home Order that will come into effect on May 1st. These modifications provide increased flexibility for certain businesses and important new guidelines to protect workers and consumers.
Here is an overview of the changes that will become effective May 1st and will last through the month of May. Please note that these rules are subject to change- please visit www.chicago.gov/coronavirus for updates.
1. NEW Requirement to Wear Face Coverings Effective May 1st, all individuals over the age of two that can medically tolerate face covering will be required to wear a face covering over their nose and mouth when they are:
in a public space and unable to maintain a six-foot social distance; or
in any indoor public space.
2. NEW Categories of Businesses Considered Essential The following businesses will be considered essential and may re-open beginning May 1st:
Animal Grooming Services
Greenhouses, Garden Centers and Nurseries
These businesses will be added to the full list of essential businesses under the previous Stay at Home Order, which can be found on the Frequently Asked Questions tab at www.chicago.gov/coronavirus. All essential businesses must follow the social distancing requirements outlined in number four below.
3. NEW Permissible Activities for Non-Essential Businesses Beginning May 1st, retail stores that are not designated as essential may re-open to fulfill online or telephone orders. These orders must be completed through pick-up outside of the store or through delivery. All non-essential businesses engaged in minimum basic activities such as these must follow the social distancing requirements outlined in number four below.
4. NEW Requirements for all Businesses to Protect Employees and Consumers Effective May 1st, all businesses are required to take the following steps to the greatest extent possible:
Provide employees with face coverings
Require that employees wear face coverings in circumstances where they are unable to maintain a six-foot distance at all times
Where work circumstances require it, provide additional Personal Protective Equipment
Evaluate whether employees are able to work from home
This applies to all essential businesses and non-essential businesses that are engaged in minimum basic operations. These requirements are in addition to existing requirements to designate six-foot distances, have hand sanitizer and sanitizing products available, designate separate operating hours for vulnerable populations and post online whether a facility is open and how best to reach the facility.
5. New Requirements for Retail Businesses to Protect Employees and Consumers In addition to the requirements outlined in number four above, all retail businesses are required to take the following steps to the greatest extent possible beginning on May 1st:
Cap occupancy at 50 percent of store capacity or occupancy limits
Set up store aisles to be one-way where practicable
Communicate with customers through in-store signage, public service announcements and advertisements about the social distancing requirements
Discontinue use of reusable bags
6. NEW Requirements for Manufacturers to Protect EmployeesIn addition to the requirements outlined in number four above, all manufacturing businesses are required to take the following steps to the greatest extent possible beginning on May 1st:
Stagger shifts
Reduce line speeds
Operate only essential lines, while shutting down non-essential lines
Ensure that all spaces where employees may gather, including locker rooms and lunchrooms, allow for social distancing
Downsize to the extent necessary to allow for social distancing
Please be advised BACP has been and will continue to enforce the Stay at Home Order. Citations for businesses violating the order, including the social distancing requirements, can range up to $10,000 per offense. The modifications in the new Stay at Home Order are essential to building on the lifesaving progress our State has made over the last month.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
UPDATE 6/13/20: As of this week, I only have one client who has reported hearing back from this program at all. And that was just an email saying there were 1500 people in-line in front of them and funds were unlikely to be available.
From Crain’s Chicago today — The city’s Small Business Resiliency Fund has been swamped with about 7,000 applications since starting to receive them on March 31, and has approved just 10 applications as of yesterday evening, a city spokesperson said.
Warning: the rest of this is an op-ed vent, not my usual constructive information and advice.
Honestly, I’m heartbroken. I attended a webinar where the head of BACP told everyone to apply, even if you decide not to take the loan, because the program is designed to connect you with community development lenders who can advise you on the best combination of loans and grants for your business’s needs. These are places I trust, like Accion and WBDC. But to-date, not a SINGLE client has even heard back from the lender with whom they were paired. Not just that the applications are taking a long time — I mean, they haven’t even had an initial contact yet.
I understand the City is swamped and overwhelmed, and I truly believe they’re doing their best… but their best simply isn’t good enough. These were supposed to be the bridge loans that helped small businesses until they received their PPP or EIDL funding. I feel stupid for trusting them, embarrassed that I recommended this approach to my clients… and shocked that we have plumbing and traffic signals.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
The Chicago Small Business Resiliency Fund is designed to provide small businesses and non-profits with emergency cash flow during this health crisis. Funds will be provided to eligible businesses as low-interest loans.
Most importantly, the Resiliency Fund is structured to complement the new federal Paycheck Protection Program that the Small Business Administration (SBA) is launching.
The way it works is that when you apply for Chicago’s fund program, they assign you a community lender who can help you navigate all the options you have as a small business. So it’s worth applying even if you decide not to take the Chicago Fund loan, just for the free assistance in navigating these difficult waters.
The loans are available on first-come, first-served basis, but they will be taking measures to make sure that they are distributing them equitably. See their FAQ here.
This loan program is intended to be a small loan that is a stop-gap measure so you can pay your staff and bills in the short term while you are searching for other options. There is no application fee. Terms are listed here. The fixed annual interest rate on the loan will be 1% for the first 18 months. After 18 months, the rate will increase to 5.75% for the duration of the loan.
You can borrow up to $50k, based on revenue prior to the crisis. Funds are to be used for working capital, with 50% going to payroll. Borrowers must commit to retaining workforce at at least 50% of level prior to crisis, but there will flexibility for closed businesses and other situations that might prevent this.
More requirements to qualify: – Must have suffered at least 25% revenue decrease due to the crisis. – 0-50 employees (sole props can apply) – Gross revenues <$3M – Located within City of Chicago – show business license or address – 50% or more of employees must live in Chicago – Must have been in operation at least one year at time of receiving the loan – Non-profits are eligible – If you have multiple businesses, you apply for one loan that covers them all
Required documentation: – Business address within City of Chicago – If you have a Chicago business license, provide it – Bank statements dating back to October 2019 – Most recent tax return (whatever the year) – Photo ID of at least one of the owners – You will get a debt check to see if you currently owe the city
Supposedly, the lender you are connected with will help you navigate the full landscape of what is available to you: not only this loan, but other SBA loans, PPP loans/forgiveness, grants and other funds and resources.
They suggest you apply regardless, just so you are connected with a neighborhood lender, BACP fund staff, and your local Neighborhood Business Development Fund just to get info on what your options are about all resources that might be available to you.
However, if you have the time and resources, please continue to contact other SBA preferred lenders so you have the opportunity to choose the path that is ultimately most quick, cost-effective, and appropriate for your business.
Other Chicago Resources Chicago has deferred all tax payments until April 30th — you still must collect restaurant, bag, amusement, etc. taxes from consumers, but the tax payments themselves will not be due until April 30th.
Though the Business Affairs & Consumer Protection (BACP) offices are closed, they are still processing business licenses, but late and renewal fees are deferred until April 30, 2020.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
From the Chicago Department of Cultural Affairs and Special Events:
Today, Mayor Lori E. Lightfoot joined Governor JB Pritzker to announce the Arts for Illinois Relief Fund, providing financial assistance to artists, artisans and cultural organizations impacted by the Coronavirus (COVID-19).
The fund is a partnership between the City of Chicago, the State of Illinois and the broader philanthropic community. Arts for Illinois Relief Fund is administered by Arts Alliance Illinois in partnership with 3Arts and Arts Work Fund.
Grant applications for artists, artisans and cultural organizations open today. Individual artists and artisans – including stage and production members and part-time cultural workers – experiencing an urgent need will be able to apply for one-time grants of $1,500 distributed by 3Arts. Grants will be awarded through a lottery system and will be disseminated quickly. Additionally, nonprofit arts and cultural organizations of any size will be able to apply for relief through the Arts Work Fund. Based on their demonstrated financial need, organizations will be awarded grants from $6,000 – $30,000. Artists, artisans and cultural organizations impacted by COVID-19 are urged to apply for grants through www.artsforillinois.org.
To date, more than $4M has been committed from public and private sources to seed an upcoming statewide campaign that will provide additional funding to meet the growing and critical needs of the state’s creative sector. DCASE has contributed $1 million to the relief effort, along with leadership gifts from Walder Foundation and John D. and Catherine T. MacArthur Foundation. Fundraising activities will be co-chaired by First Lady MK Pritzker and First Lady Amy Eshleman, with support from other civic leaders. Individuals, corporations and charitable foundations are encouraged to donate to the Arts for Illinois Relief Fund by visiting www.artsforillinois.org.
Arts for Illinois also launched an online platform that features talented artists – performers, singers, poets, painters, writers and other creatives from across Illinois – who have generously made their works available for the public’s enjoyment while at home during these challenging times. Visit www.artsforillinois.org to explore a wide-range of art experiences, as well as learn more about the Arts for Illinois Relief Fund. Share your art using #ArtsforIllinois.
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
I originally intended this post to be about the City of Chicago Small Business Resiliency Fund loan application process. And, well mostly, it is. But I learned a couple pretty important things over the past week of researching funding options for small businesses — something more general, and in a sense more important:
Find a good lender immediately. As in, today.
Get your financials ready. As in, today.
In the fast-paced world of obtaining small business resources during the COVID-19 crisis, preparedness is the word.
For example, in a webinar this morning, I found out that the City of Chicago’s program application will go live later today. And guess what: the funds are distributed first-come, first-served. I am not kidding. This means that businesses that already have a relationship with a banker or community fund will be able to navigate this maze more quickly than others — the same for businesses who are large enough to have an internal staff member or even an accountant to prepare the application, or the capital to hire a specialist.
With that said:
1) Finding a lender you trust seems to be the #1 most important thing you can do right now. A good lender is qualified to help you walk through the myriad funding options available, and may be able to predict what items will be needed to apply for specific programs, even before those programs have released guidance. (As an accountant, I am doing my best to get up-to-speed, but it’s simply not my area of expertise. I’m very good at helping pull together financial information for applications, however!)
2) The City Of Chicago Small Business Resiliency Fund presenter today encouraged everyone to apply, because it will connect you with a lender who can help you navigate the full landscape of options, not just this fund.
3) However, not all lenders are created equal. For example, lenders outside of Chicago will not know much about city-specific programs. And let’s face it, we’ve worked with a lot of banks and community funds, and some folks just have no idea what they’re doing (on a good day, not during a crisis, and without an overwhelming amount of information to evaluate). And I’ve heard from some clients that their usual lender isn’t even participating in the PPP program.
So, find a lender, now. Ask around to other small businesses to find out who they use. Ask your bank. If you already have an SBA or other loan, reach out to your loan officer (presuming you’ve had a good experience with them). Sometimes a big bank will be the better choice, sometimes the smaller community bank in your neighborhood, sometimes a community lending organization. Cross-reference by checking the SBA website “find a lender” tool. I don’t know a single decent one so far, so if you find somebody you like, please introduce me!
UPDATE 4/1 — A few clients have responded with recommendations: Chase, Wintrust, Radius Bank, Huntington Bank, Bank of America… all of them do 7(a) loans quite consistently so they are used to the documentation requirements, and can quickly pivot to offer PPP loans. These SBA “preferred lenders” (rather than just “certified lenders”) seem to be ready to take documentation Friday and issue loans ASAP thereafter.
And as for getting your financials together, here’s a list to get you started for any loan or grant:
Bank statements for the past year
Most recent business tax return (sole prop, partnership, S-Corp, C-Corp, Co-op, Not-For-Profit)
QuickBooks Profit & Loss and Balance Sheet comparative reports for the past 3 years (you can run one report for 1/1/17-2/29/20 and change the columns to “Years”; make sure to run these on cash- or accrual-basis to match your tax return)
W-2s for 2019 and payroll reports for 2019 and the first quarter of 2020
Rather than include my specific notes on the City of Chicago Small Business Resiliency Fund application process below, as originally intended, I’m going to link to them here as soon as I can (done!), so that I can get this info out ASAP to all small businesses that may need this guidance, not just those in Chicago.
Get on it!
If this or any other posts on the website were useful to you, and your financial situation permits it, please consider contributing to my tip jar. This allows me to continue to provide free accounting resources to small businesses who do not have the funds available to hire a CPA.
Each month the City of Chicago offers twice-weekly (Wed & Fri) FREE business education workshops presented by experts in private practice as well as representatives from various city departments. There are quite a few good ones this month — see the list below — and they’re all offered at City Hall (right downtown and near public transit). To register for any of them, email BACPoutreach@cityofchicago.org or call 312.744.2086.
City Inspections – Ask Questions, Get Answers
Wed, March 4, 3:00 PM – 4:30 PM
City Hall, 121 N. LaSalle St. – 8th Floor, Room 805
Presented by the City of Chicago
To operate a successful business in Chicago you need to know what it takes to maintain compliance. Officials from several City departments will provide insight on how to operate safely, stay compliant, help prepare for inspections and highlight the do’s and don’ts of operating a business.
Empieza Un Pequeno Negocio
Fri, March 6, 9:30 AM – 11:00 AM
City Hall, 121 N. LaSalle St. – 11th Floor, Room 1103
(WorkshopPresented in Spanish) Presentado por el Northwest Side CDC(Northwest Side Community Development Corporation)
Venga aprender como abrir un negocio, los pasos quedebe de tener y no tomar. Habláramos sobre creando un plan de negocio, entiendosu mercado, y creando un plan de acción. También se hablara los pasos parasacar su licencia de negociante.
Small Business Center on the Road Expo Sat, March 7, 10:00 AM – 2:00 PM Kennedy King College – Building U, 740 W. 63rd Street The Small Business Center on the Road Expo brings business resources to the community for new and existing entrepreneurs looking to start or grow their business in the City of Chicago. This expo is free and open to the public. You can find more information or register expo at www.chismallbizexpo.com
Employee (HR) Handbooks & Workplace Policies
Wed, March 11, 3:00 PM – 4:30 PM
City Hall, 121 N. LaSalle St. – 8th Floor, Room 805
Presented by Charles Krugel, a Management-Side Labor, Employment and Human Resource Attorney Open discussion concerning whether a business needs a handbook, written policies & procedures, and how to implement them.
Buying and Selling a Business: Find, Evaluate and Negotiate
Fri, March 13, 9:30 AM – 11:00 AM
City Hall, 121 N. LaSalle St. – 11th Floor, Room 1103
Presented by LemaKhorshid, Fuksa Khorshid, LLC
Do you want to buy a business and don’t know where to start? In this step-by-step seminar learn how buying a business can be an alternative to starting up a new business. Also, learn how to effectively analyze new business opportunities and understand a business purchase contract so that you can quickly close the deal.
How to Open a Concession at O’Hare and Midway International Airports
Wed, March 18, 3:00 PM – 4:30 PM
City Hall, 121 N. LaSalle St. – 8th Floor, Room 805
Presented by City of ChicagoDepartment of Aviation – Concessions Department
Are you interested in operating a restaurant or shop at O’Hare or Midway International Airport, but don’t know where to begin? Come and learn about the Request for Proposals (RFP) process and how to operate a business at the airport. This workshop will also provide an overview of the Airport Concessions Disadvantaged Business Enterprise (ACDBE) program.
How to Obtain a Mobile Business License
Fri, March 20, 9:30 AM – 11:00 AM
City Hall, 121 N. LaSalle St. – 11th Floor, Room 1103
Presented by City of Chicago Department of BusinessAffairs & Consumer Protection (BACP)
From Food Trucks to Peddlers to Mobile Merchants, not all businesses need a store front from which to operate and Chicago is proud to support many types of mobile businesses. Attend this workshop to learn how to obtain a Mobile Food or Retail License from the BACP, including operational conditions, required inspections and application processes. Licenses covered by this workshop will include Mobile Food Dispenser and Preparer (Food Trucks), Mobile Merchant, Mobile Prepared Food Vendor, Mobile Frozen Desserts Vendor, Produce Merchant, and Peddler.
What Kind of Funding is Right For You/Your Business
Wed, March 25, 3:00 PM – 4:30 PM
City Hall, 121 N. LaSalle St. – 8th Floor, Room 805
Presented by the U.S. Small Business Administration
If you need access to capital to achieve your business goals, the SBA offers a variety of funding programs for all kinds of small business ventures. Learn what kind of funding is right for you!
What You Need to Know About Your Business & Taxes Fri, March 27, 9:30 AM – 11:00 AM City Hall, 121 N. LaSalle St. – 8th Floor, Room 805
Presented by the Internal Revenue Service (IRS) and Ladder Up
This workshop will answer important tax questions for your business including: Are you required to file a tax return? Is your worker an independent contractor or an employee? What will the IRS request during an audit? Are you required to make estimated tax payments? What resources does the IRS have for small business owners?
Also, in case you weren’t aware, BACP offers a Business Start-Up Certificate Program, designed to give business owners the essential elements in starting and growing a business. Attend nine workshops at BACP and learn the essentials of business planning, financing, marketing, legal issues, technology and more. Complete the program workshops within six months and earn your certificate, as well as get free advice on your business plan. You can register for the Business Start-Up Certificate Program at any BACP workshop. Learn about the full set of BACP offerings here.
It recently came to my attention that apparently restaurants in Chicago were not notified by the city of an important change to local taxes they are required to collect.
Therefore, the total sales tax for restaurants in the city of Chicago is now supposed to be 10.75% instead of 10.50% — this includes state and local sales taxes as well as the city’s 0.50% restaurant tax.
(For restaurants located within the MPEA Food and Beverage Tax zone, the total sales tax will be 11.75% — made up of sales taxes + 0.50% restaurant tax + the 1.00% MPEA food and beverage tax).
Unfortunately, it doesn’t appear that this change was communicated widely to restaurant owners, so many of them did not update their Point of Sale systems to increase the tax charged to customers. This means they probably underpaid their monthly restaurant tax and will owe when they file their annual restaurant tax returns.
I suggest the following steps:
Update your Point of Sale software to reflect the 10.75% tax immediately, so you can begin collecting it from customers.
Calculate the approximate underpayment for January and February (0.25% of sales) and add it to your restaurant tax payment for March.
It will all come out in the wash when you file your annual restaurant tax return in August.
