proprietor
pruh-prahy-i-ter
The owner of a business establishment,
A person who has the exclusive right or title to
something; an owner, as of real property.
From Latin proprietas (property)
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TIP OF THE WEEK
Proprietors and other schedule C filers can now use line
7 (Gross Income) vs. line 31 (Net Profit/Loss) as the basis for their PPP loan
amount. This will likely result in a significantly higher PPP loan amount.
SBA is implementing this change with respect to PPP loans
that are approved after the effective date of the new rule- March 3, 2021. Unless extended, the PPP program ends March
31st.
Congress authorized an additional $284 billion in funding
for this current round of PPP loans.
Right now, after two months, a little more than half of that funding
($156,253,510,068) has been approved.
Proprietors and other businesses should also consider the
SBA 7(a) loan program. Until September
30th the SBA guarantee fee has been waived.
SBA will also make your first three months of payments.
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Indices:
PRIME RATE= 3.25%
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SBA 504 Loan Debenture Rate for February
For 20 year
debentures, the debenture rate is only 1.24% but note rate is 1.263% and the
effective yield is 2.558%.
For 25 year debentures, the debenture rate is only 1.34%
but note rate is 1.36% and the effective yield is 2.602%.
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AHEAD OF THE YIELD CURVE
Prognostications proliferate over the propitious slope of
the yield curve.
The slope of the yield curve—the difference between the
yields on short- and long-term maturity bonds—has achieved some notoriety as a
simple forecaster of economic growth.
The rule of thumb is that an inverted yield curve (short
rates above long rates) indicates a recession while a flat curve indicates weak
growth and, conversely, a steep curve indicates strong growth.
The 30 year Treasury bond has climbed over 70 basis
points.
379,000 jobs were added in February. 286,000 of those jobs were at restaurants and
bars. Employment in leisure and
hospitality is still down 9.5 million compared to pre-pandemic levels.
The nation has recovered 12.9 million, or 58%, of the 22.4 million in total jobs wiped out.
Keep your eye and ears open for this week’s auction of
the 30 year Treasury bond.
Here is what the 30 year Treasury bond has been doing and
this week’s interesting little table:
2006- 4.91
2007- 4.84
2008- 4.18
2009- 3.89
2010- 4.61
2011- 2.89
2012- 2.77
2013- 3.25
2014- 3.97
2015- 2.91
2016- 2.32
2017- 3.16
2018- 3.13
2019- 2.594
2020- 1.216
What does all this mean?
I don’t know.
At last month’s auction, the high yield was awarded at
1.933 percent, up 10.8 basis points from the prior month’s auction and the
highest awarded auction rate for the bond in a year.
A prospicient Federal Reserve promulgates interest rates
protracting propitiously.
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OFF BASE
So is a proprietor a proprietarian?
A proprietarian can be a proponent of proprietarianism
which is a belief that property is an absolute right and a philosophy that very
small businesses are generally more humane than large corporations.
Proprietarianism has deep roots in America. The Declaration of Independence phrase
“Life, Liberty and the pursuit of Happiness” was a modification of 17th Century
philosopher John Locke’s claim of the unalienable right to Life, Liberty and
Property. Thomas Jefferson’s
imaginative leap replacing property with the pursuit of happiness causes a
profligate prolegomenon that the two are synonymous.
A proprietarian can also be hung up on propriety. Propriety is defined as the quality or state
of being proper or suitable and conformity to what is socially acceptable in
conduct or speech.
The word propriety comes from the Latin proprius which
means individual, special, particular or characteristic.
Thinking about what kind of proprietarian one is could
cause procumbence.
