Changes in the PPP

There have been recent changes to the Paycheck Protection Program Loan (PPP) by the Small Business Administration (SBA). The PPP was part of the federal relief program under the CARES Act to give small business loans during the pandemic. The federal government has amended the PPP to assist rural, urban, and underserved areas. Do you still need a PPP Loan to help with your small business? The PPP Loan application deadline is March 31, 2021. Here are some of the changes you need to know about the PPP Loan.
As mentioned, the PPP Loan was changed to better serve small businesses in rural, urban, and underserved areas. When first rolled out the PPP Loan was criticized for not considering the smallest small business. Now, the PPP Loan calculation has been revised to include independent contractors, sole proprietors, and self-employed individuals for support. If your business falls under one of these three types of business, apply for the PPP Loan.
    Previously, if you had been arrested or convicted for a felony related to financial assistance fraud five years ago or had any felony within the previous year, you were ineligible for the PPP Loan. Now, you can apply as long as you are not incarcerated at the time of applying for the PPP Loan. Also, business owners who have been delinquent on student loans now apply for a PPP Loan. Last, small business owners who are legal residents and Green Card holders with visas are eligible to apply. If you are an independent contractor or sole proprietor who already received a PPP loan before March 3, 2021, you cannot amend your loan. However, if a sole proprietor or independent contractor has a 25% cut in revenue for any quarter in 2020, compared to the same quarter in 2019, they can get a Second Draw PPP Loan. For more details about the amended PPP Loan please visit or  to apply for a PPP Loan. The sooner you apply, since the window of opportunity will be closing on March 31.
    We want to mention that during these challenging times some small businesses, unfortunately, laid people off. With the recent passing of the American Rescue Plan (aka the stimulus bill), part of the deal struck was a $10,200 tax waiver for those who received unemployment benefits in 2020. Taxpayers who had support in 2020 will not have to pay the first $10,200 of unemployment benefits they received. This tax waiver is only for 2020, not for 2021.
    Do you still have questions about the PPP Loan?  The great news is SWVA Tax & Accounting can help you navigate the complexity of the PPP Loan. SWVA Tax & Accounting is a full-service accounting firm that specializes in the needs of small businesses. Please reach out and contact us at 540-250-3198 or schedule an appointment today. We’ll run the numbers, while you run the business.

Avoid Financial Mistakes In Business


You started a business that has been a dream of yours for years. You did your homework and what you sell is in demand. Fast forward fifteen months, things aren’t good. You haven’t turned a profit yet since opening the business. You can’t afford to pay taxes due. The phone never stops ringing from creditors who want payment. Your stress and anxiety are at an all-time high. How did this happen? First-time business owners can make devastating financial mistakes. Here are a few things you can do to help your business.

  1. Be Realistic About Profits 

Steady money doesn’t happen within a short amount of time when you open a business. It takes time to build a stable income much, less a profit. Be aware of this as you plan to pay your bills. Conduct a break-even analysis so you will have a good idea when you will start making a profit.

  1. Keep Your Personal and Business Funds Separate

Don’t mix your personal and business funds. The best practice is to keep these two funds separate for tax purposes. Mixing the two won’t give you a real idea of how your business is doing financially. If you seek out a business loan, it will be nearly impossible to show what your business is doing.

  1. Not Keeping Up With Bookkeeping

Bookkeeping isn’t fun but, you have to do it. Make sure you carve out time each week to update your bookkeeping. Use tools like QuickBooks to set yourself up for success. Don’t know how to use QuickBooks? Don’t worry SWVA Tax & Accounting can help you.

  1. Plan Your Taxes

You have to pay taxes as a business owner there, is no escaping it. Put funds aside to pay taxes to local, state, and federal governments. SWVA Tax & Accounting can help you develop a plan for tax payments.

  1. Get An Accountant

A good accountant will save you time and money. Working with one can help with payroll, preparing financial statements, and understanding the latest tax laws. Look no further than SWVA Tax & Accounting for all your business tax needs!

  1. Hire A Lawyer

A lawyer can help you get your business registered and structured that benefits you. They can review any contracts and other business documents you have.

  1. Have A Business Emergency Fund

Having a liquid source of cash can help cover business expenses for three to six months. This emergency fund can help keep your business stay afloat during difficult times.

  1. Business Insurance Is A Must

Business insurance helps fill the gap of things you didn’t see as accidents or theft. This is especially important if you are a sole prop since you will be 100% responsible for what happened. Get it and have peace of mind.

  1. Handling Business Debt

Business owners often go into debt operating a business, such as credit cards or business loans. Have a financial plan to pay debts off so you don’t drown in debt.

Mistakes cost business owners time and money, two things there is never enough of. Working with an accountant can make your business stronger. SWVA Tax & Accounting is a full-serve accounting firm specializing in the needs of small businesses. Call us today at 540-250-3198 or book an appointment today. We’ll run the numbers, while you run the business.

Manage Your Money Better With A Budget


Do you have financial goals in life? Maybe you want to buy a house or get out of debt. If you need to achieve any financial goals, you’ll need a budget to get you there. A personal or business budget is a way to track your expenses and income for a set period, monthly is the most common. Don’t view budgeting as negative but as a means to achieve financial goals. Bear in mind there are multiple ways to make and keep a budget. Here are a few steps to get started.

Step 1. Find and Gather all Your Financial Paperwork

You will need:

  • Bank statements
  • 1099s
  • Recent utility bills (electricity, water, gas, etc.)
  • Monthly bills (mortgage, car, Netflix, student loan, etc.)
  • Any receipts for the last three months
  • Paystubs

The more information you have the better so you know where your money is spent. This gives you a monthly average and a starting point.

  1. Add Up Your Income

How much is your monthly take-home pay on average? If you have income such as Social Security, stocks, pension, etc. that’s income. The best rule to follow is to use your net income when finding your average monthly income. You may have to go back three months to get an average.

  1. List Your Monthly Expenses

These are all the expenses you have each month. For example:

  • Mortgage or rent
  • Savings
  • Insurance
  • Car Payment
  • Utilities
  • Groceries
  • Childcare
  • Gas
  • Credit Card Payment
  • Dining Out

If you spent money, then it’s an expense. Use online banking, bank statements, and receipts to track your spending.

  1. Find Your Fixed and Variable Expenses  

These two types of expenses are easy to determine. A fixed expense is something you pay the same amount each month. The best example is your monthly car or rent payment. A variable expense will change monthly as gas, groceries, eating out, utilities, etc. It’s best to find an average for each variable cost so you can know how much to estimate for each cost.

  1. Add Up Your Monthly Income and Expenses

This is usually the shocking part of making a budget for people. Don’t be surprised if your expenses are more than your monthly income. If your expenses are more than your income, you are likely overspending and will need to adjust your spending habits.

  1. Adjust Your Expenses

Now, you know what your average expenses are you can start looking for areas to trim or cut out completely. You can pack your lunch instead of eating out at work. Hit the sales rack instead of paying full price. You will be surprised where you can trim or cut expenses. It takes discipline and time to change how you spend money.

  1. Set Up Fun Money

Give yourself a little fun money to spend without feeling guilty about it. You could use it on dinner out or that watch you’ve been wanting. Keep this part of your budget reasonable, don’t overspend.

  1. Pay yourself First

When you get paid put money in a saving or rainy-day account. You want to build a nest egg so you can build wealth over time.

Setting up and sticking to a budget is will take time, effort, and energy. It could take anywhere from two to five months to get a budget working for you. You will need to track and keep up with what you spend your money on. A budget is a living document that will need adjustment each month. Take the time to make your budget now so you can achieve your financial goals. SWVA Tax & Accounting is here to help with all your financial needs. SWVA Tax & Accounting is a full-serve accounting firm that specializes in the needs of small businesses. Call us at 540-250-3198 or book online to get started today. We’ll run the numbers, while you run the business.