Tag: coronavirus

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Brandon Blog Post

REDWATER ALBERTA NEWS: $1.7B TO CLEAN UP ORPHANED WELLS DUE TO COVID-19

redwater albertaThe Ira Smith Team is absolutely operational and both Ira, as well as Brandon Smith, are right here for a telephone appointment, conference calls and also virtual meetings.

Stay healthy and safe everybody.

If you would prefer to listen to the audio version of this Brandon’s Blog, please scroll to the bottom of this page and click on the podcast

Introduction

When it went insolvent in 2015, Redwater Energy Corp. (Redwater Alberta or Redwater) might have been a small business, with only 19 generating wells and 90 dormant wells. However, a relatively small oil producer was responsible for a huge Supreme Court of Canada (SCC) decision.

Basically, the SCC decided in the Redwater Acase, that if a business goes belly up, its environmental obligation needs to be paid before secured creditors. I have written before on the Alberta Courts’ decisions and the SCC decision. As a result of COVID-19, the Canadian government just announced a $1.7 billion fund to create jobs in the Canadian oil patch.

Redwater Alberta history of cases

In my previous blogs, I described the Alberta court decisions. The Alberta Courts concurred with the receiver and held that the regulator’s enforcement activities to force Redwater’s adherence to its previously agreed requirements to clean up and permanently cap its oil site, in bankruptcy was not enforceable.

The Courts stated that given the bankruptcy of the company (in addition to a receivership), the Bankruptcy and Insolvency Act (Canada) (BIA) took paramountcy over the provincial law. The provincial Courts said that the BIA took paramountcy because:

  1. Allowed the receiver protection from the promises of Redwater Alberta as the licensee in connection with the Redwater properties disclaimed by the receiver/trustee, according to s. 14.06(4) of the BIA.
  2. The priority for the distribution of a bankrupt’s assets is regulated under the BIA, not provincial legislation. If the provable claim of the Regulator, an unsecured creditor, was paid in advance of the claims of Redwater’s secured creditors, that would not be the regime laid out in the BIA.

The SCC decision

In the SCC 5 to 2 judgment in the Orphan Well Association v. Grant Thornton Ltd. case, the SCC ruled that financially troubled companies like Redwater can no longer disclaim or merely bow out of properties they don’t want. In this situation, non-producing oil wells, when abandoned or orphaned, leave the resulting ecological cleaning to Alberta’s Orphan Well Association. It is a non-profit operating for the Alberta Energy Regulator.

What the SCC decision in the case of the Redwater Alberta receivership means is that the costs of properly and permanently sealing an oil well that is to be abandoned is a first ranking charge against the producer’s assets. In the Redwater case, the receiver had to turn over the proceeds (about $600,000) from the asset sales to the Alberta regulator. There was absolutely nothing left for any other creditor, either secured or unsecured.

This case was obviously difficult and contentious, given that it was a 5-2 decision and not unanimous. The majority decision stated that:

  • The regulator’s use of its provincial powers is not in conflict with the BIA to trigger the doctrine of federal paramountcy.
  • Section 14.06(4) of the BIA deals with the personal liability of receivers and trustees and does not let a trustee ignore the environmental liabilities of the estate.
  • The regulator is not asserting any claims provable in the bankruptcy.
  • There is no attempt by the regulator to upset the scheme of priorities stipulated by the BIA.
  • There is not a conflict by the regulator tagging the Redwater receiver as a licensee under Alberta legislation.

The Supreme Court decision goes on to say that the rules cannot be ignored just because there is a bankruptcy. Insolvency professionals must abide by valid provincial laws in administering corporate bankruptcy. It also found that receivers and trustees must:

  • conform with non-financial requirements the insolvent company must still adhere to that do not create a provable claim in the insolvency administration; and
  • Adhere to the parts of the provincial legislation that does not go against the BIA, notwithstanding that it might prove harmful to the position of one or more groups of creditors.

COVID-19 and orphaned wells

Near the end of March 2020, Finance Minister Bill Morneau said that help for the oil and gas industry would be announced. This industry has been hit by two different factors:

  1. Reduced demand due to people self-quarantining because of COVID-19 and therefore there is less demand for oil and gas.
  2. The price battle between Russia and Saudi Arabia. Oil on the world market is at an all-time low. At one point, a barrel of Canadian oil was selling for less than $5. The industry cannot operate with oil prices that low.

As a result, there have been massive job losses in British Columbia, Saskatchewan and Alberta oil patches. As well, the regulators do not have the money to reclaim and permanently seal off the abandoned orphaned wells. It is currently estimated that the total cost could be in the $8 billion range.

On Friday, April 17, Prime Minister Justin Trudeau announced that the federal government will invest at least $1.7 billion to the orphaned well cleanup. The money is to be used to create oil patch jobs to allow for the environmental cleanup.

So COVID-19 or coronavirus, has forced the Canadian government to create this support for the Canadian oil and gas industry. It will create jobs badly needed and allow for the cleanup of some orphaned oil wells.

Details of the support package have not been released. Presumably, the legislation will have to be drafted and passed in the House of Commons. No doubt, more information will come out in the coming days or weeks.

Summary

The Ira Smith Team family hopes that you and your family members are remaining secure, healthy and well-balanced. Our hearts go out to every person that has been affected either via misfortune or inconvenience.

We are all citizens of Canada and we need to coordinate our initiatives to stop the spread of the coronavirus. Social distancing and self-quarantining are sacrifices that are not optional. Families are literally separated from each other. We look forward to the time when life can return to something near to typical and we can all be together once again.

Ira Smith Trustee & Receiver Inc. has constantly use clean, safe and secure routines in our professional firm and we continue to do so.

Revenue and cash flow shortages are critical issues facing entrepreneurs and their companies and businesses.

If anyone needs our assistance, or you just need some answers for questions that are bothering you, feel confident that Ira or Brandon can still assist you. Telephone consultations and/or virtual conferences are readily available for anyone feeling the need to discuss their personal or company situation.

Are you now worried just how you or your business are going to survive? Those concerns are obviously on your mind. This pandemic situation has made everyone scared.

The Ira Smith Team understands these concerns. More significantly, we know the requirements of the business owner or the individual that has way too much financial debt. You are trying to manage these difficult financial problems and you are understandably anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

The Ira Smith Team is absolutely operational and both Ira, as well as Brandon Smith, are right here for a telephone appointment, conference calls and also virtual meetings.

Stay healthy and safe everybody.

Categories
Brandon Blog Post

INSOLVENCY TRUSTEE TORONTO NEWFANGLED COVID-19 BUSINESS RESTRUCTURING PLAN

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Introduction

The COVID-19 pandemic has upended our world. Everyone is scared, has many questions and there is a lot of misinformation out there. So many businesses have shut down and do not know if they will ever be able to start up. As a licensed insolvency trustee Toronto, I fully understand the fear and panic that has set in.

First, I hope you and your family are safe and healthy. The purpose of this Brandon’s Blog is to show a newfangled business restructuring approach that recently occurred in the United States. As far as I can tell, there is no reason why this kind of restructuring plan could not work in Canada also.

Modell’s Sporting Goods, Inc. et al Chapter 11 bankruptcy proceedings

On March 12, 2020, U.S. Bankruptcy Court District of New Jersey Judge Victor Papalia issued the Order approving the Chapter 11 bankruptcy protection application of Modell’s Sporting Goods, Inc. and related companies (Modell’s) filed on March 11.

Modell’s is America’s oldest, family-owned ran store of sporting products, athletic footwear, active clothing and fan gear. It was founded in 1889 by Morris A. Model. The initial Modell’s store was located on Cortlandt Road in lower Manhattan, New York City. Four generations of the Modell household have run and grown the family company into a chain of over 150 stores throughout the Northeast.

Mitchell Modell, the company’s CEO and President said the company’s poor financial performance resulting in the Chapter 11 bankruptcy protection filing was because of many reasons, including:

  • unseasonably warm winter season;
  • six fewer days in the shopping season this year between Thanksgiving and Christmas;
  • competition from Amazon;
  • the futility of NYC’s sports franchises business like the Knicks, Jets and Giants has not helped either; and
  • the coronavirus pandemic

I personally doubt the losing records of the local sports franchises was a reason for Modell’s failure. How many years were the Toronto Maple Leafs awful but you always saw lots of Leaf fans with jerseys, caps and flags?

The novel court Order

On March 27, 2020, the Honourable Justice Papalia granted Modell’s court application making an order providing for both a bankruptcy suspension and an operational suspension. The bankruptcy suspension froze the bankruptcy protection proceedings until April 30, 2020 (the Suspension Period). The operational suspension, allows Modell’s to shut down all stores and not operate. The judge also gave Modell’s the right to apply on short notice to the court to extend the Suspension Period. The order went on to state the stay of proceedings is in effect during the suspension.

Novel times call for novel solutions. As part of their application, Modell’s filed a modified budget to indicate what sources of cash it would have and what expenditures it would pay during the Suspension Period. It also indicated what expenditures were being incurred, but not paid. Commercial rent on all of its stores was one of the items being accrued, but not paid.

The reason Modell did not include any commercial rent payments in its modified budget was simple. They had to close down all of their stores as a result of the coronavirus pandemic. Stores closed means no sales. They were not going to pay rent on stores that were not generating cash.

The court order approved the modified budget. It also confirmed that the only payments that Modell’s would make were those indicated as essential. The company deemed payments to all of its landlords as non-essential. The court order did indicate that the accrued but unpaid expenditures were not and were not deemed to be waived or not payable at some time.

Pier 1 Imports took a page from the Modell playbook

In February 2020, Pier 1 Imports, Inc. (Pier 1) filed for Chapter 11 bankruptcy protection as part of looking for a buyer of its operations. It then closed all of its stores in Canada and many in the United States.

On Tuesday, March 31, 2020, following the Modell’s precedent, sent a request to the U.S. Bankruptcy Court for the Eastern District of Virginia to temporarily stop paying commercial rent on its retail locations along with certain payments to suppliers, shippers, and distributors.” Pier 1 has now had to shutter all of its shops as a result of the COVID-19 outbreak.

Judge Kevin Huennekens throughout the hearing provided approval of these activities while allowing for it to be reassessed each month. Judge Huennekens additionally provided authorization to hold off on any motions anyone other than Pier 1 may wish to file up until at the very least 45 days after Pier 1 returns to normal operations and payments.

Could this happen in Canada?

So the question is, could an insolvency trustee Toronto help a company get this newfangled Modell’s/Pier 1 precedent happen in a Canadian bankruptcy protection restructuring? Right now landlords are reeling from their commercial tenants telling them that rent for April is not going to be paid due to the business closures. No doubt this will be the same story for every month that the closures continue.

Most landlords should be willing to work with their tenants. The reason behind the non-payment is from forces outside of everyone’s control. But what if a commercial landlord plays hardball. Can a Canadian company file for bankruptcy protection in Canada and obtain a Court order approving the non-payment of rent?

The two corporate restructuring statutes in Canada are the Part III Division I section of the Bankruptcy and Insolvency Act (Canada) (BIA) and the Companies’ Creditors Arrangement Act (CCAA).

There are no express provisions in either statute to invoke a bankruptcy or operational suspension. In fact, the opposite is true. In either a restructuring or liquidation, rent is calculated on a per diem basis for as long as the company in a restructuring or the insolvency trustee Toronto in a corporate bankruptcy, is using the premises. Fairness is part of the Canadian insolvency landscape. There are years of cases on this issue and they all end up the same. If you are in occupation, the rent must be calculated and ultimately paid.

However, there are two similar sections in each of the BIA and CCAA. Section 183(1) of the BIA reads as follows:

“183 (1) The following courts are invested with such jurisdiction at law and in equity, as will enable them to exercise original, auxiliary and ancillary jurisdiction in bankruptcy and in other proceedings authorized by this Act…”.

The words “auxiliary and ancillary” has been interpreted by the courts to mean that the bankruptcy court in each province has the jurisdiction to sanction and authorize all acts required to be done for the proper administration of the Canadian insolvency system. This holds whether it is a bankruptcy protection filing or outright bankruptcy.

The CCAA offers more flexibility in a bankruptcy protection corporate restructuring than the BIA does. In general, the Court will reach its decisions in a CCAA restructuring on the basis of fairness and reasonableness. The court needs to be concerned that what is being proposed is not illegal and there are cogent reasons as to why what is being proposed serves to benefit all or the majority of creditors affected by the restructuring.

The CCAA, therefore, offers more judicial discretion than the BIA. Courts err on the side of giving the CCAA statue a large and liberal interpretation. The court supervising a CCAA restructuring will exercise its equitable jurisdiction. The application of equitable jurisdiction can be interpreted to mean equity considers done what ought to be done.

The judge in a CCAA bankruptcy protection case overseeing the CCAA proceeding is in a unique position. He or she is in the best position to determine whether or not an agreement should be suspended in the face of overly aggressive creditors who if allowed to act, would upend the entire CCAA process. Finally, Section 11 of the CCAA allows a judge to “…make any order that it considers appropriate in the circumstances.”.

So, to answer the question as to whether a Modell’s or Pier 1 type order could be made under a BIA or CCAA corporate restructuring in Canada, my answer would have to be yes. It is possible. I don’t believe it could be gotten on a regular basis, but, in this COVID-19 pandemic world, I can see it being obtained in the face of an aggressive and uncooperative commercial landlord. It would, of course, be uncommon, but these are unique times.

So the answer for a large Canadian retailer facing an unreasonable and aggressive landlord when the commercial rent is not being paid may be to file for bankruptcy protection under either the BIA or CCAA, as appropriate.

Insolvency trustee Toronto summary

The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

We are all citizens of Canada and we have to coordinate our efforts to stop the spread of the coronavirus. Social distancing and self-quarantining are sacrifices that are not optional. Family members are literally separated from each other. We look forward to the time when things can return to something close to normal and we can all be together again physically.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

Revenue and cash flow shortages are critical issues facing entrepreneurs and their companies and businesses. Should you take advantage of the CEBA? I say a resounding YES!. I just wanted to highlight all of the issues that you should consider.

If anyone needs our assistance, feel confident that Ira or Brandon can still assist you. Telephone consultations and/or virtual conferences are readily available for anyone feeling the need to discuss their personal or company situation.

Are you now worried just how you or your business are going to survive? Those concerns are obviously on your mind. This pandemic situation has made everyone scared.

The Ira Smith Team understands these concerns. More significantly, we know the requirements of the business owner or the individual that has way too much financial debt. You are trying to manage these difficult financial problems and you are understandably anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

insolvency trustee toronto

Categories
Brandon Blog Post

HST IN ONTARIO: NEED I USE THE HST IN ONTARIO 2020 DEFERRAL

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Introduction

The Canada Revenue Agency (CRA) has announced that it will allow businesses to postpone, up until the end of June 2020, any type of HST in Ontario (and other provinces) payments that are owing on or after March 27, 2020, and before June 2020.

This is all part of Canada’s COVID-19 Economic Response Plan. In this Brandon’s Blog, I outline this program and then discuss the issues surrounding taking advantage of this HST in Ontario 2020 coronavirus deferral.

The program

The due date for businesses located in Ontario and the other Canadian provinces to file their returns is the same. Those that are able to, must file their information return on-time reporting their net tax for the reporting period. Identifying the difficult circumstances many businesses find themselves in, the CRA has also said that it will not penalize a filer where a return is filed late provided that it is filed by June 30th.

If your business only has to file annually, any HST instalment payments due on or after March 27, 2020, and prior to June 2020 can be deferred until the end of June 2020. Again, there will not be any penalty or interest charged as long as the required amount is paid by the end of June 2020.

HST returns that are filed electronically will be processed as usual unless they require a CRA representative to become involved to get additional information or documents. In the case where a CRA human needs to get involved, those returns will not be processed until everything returns to normal. If you file your HST return by paper, they will not be processed until things return to normal.

If you are entitled to an HST refund, as long as you filed electronically, the refund will be processed normally and paid. This assumes that you do not owe any other amount to CRA that they could offset your refund against.

“Death, taxes and childbirth! There’s never any convenient time for any of them.”
― Margaret Mitchell, Gone with the Wind

An Ontario business using the HST in Ontario 2020 coronavirus deferral

It is certainly understandable that many businesses will take advantage of this deferral opportunity. The COVID-19 situation is unbearable for many companies. Businesses are either closed down or in most cases, earning fewer sales revenue. Cash needs to be preserved, and there may be more pressing needs for the cash than to pay the HST liability that is payable at this time.

However, there are five issues that I have identified that entrepreneurs and businesses, in general, need to consider. I am not saying to take advantage of the deferral or not. I am just pointing out issues to be wary of.

So the five issues I see are:

Cash flow in June 2020 – Right now it does not look like the current situation is going to change dramatically between now and June 2020. So, on June 30, 2020, your business may be in the same or worse shape than it is now from a cash perspective. If CRA does not extend the deadline, you are no better off. The ball was just kicked down the road for a few months.

When the “all clear” is sounded – Assuming CRA does not require payment until the “all clear” is sounded, your business will need whatever cash it can get its hands on to get up and running again. These costs could be significant. Staff needs to be brought back on and marketing will have to be ramped up.

There may very well be a lag between the time you incur and pay for those up front starting up again expenses and when the cash from your sales come in. Will CRA take these real business needs into account and give more lag time? Or, given all the money the government has to spend in fighting the COVID 19 epidemic, will CRA start demanding payments immediately after the “all clear” is sounded to try to improve the government coffers as quickly as possible?

Will your HST issues be doubled? – If you are not an annual filer, then in July 2020, there will be one or more periods for which HST could be owing. Will your business have the cash to spare to make up the payment for two or more HST periods all at once if CRA demands it? This could spell cash flow trouble for businesses also.

Director liability – Directors are always liable for unremitted HST in Ontario and other provinces. If your company takes advantage of the deferral, then the Director’s liability begins to compound. There is no way of getting around it, but it is an issue to consider.

Trust claim – A business that collects HST, holds the amounts collected from its customers in trust for CRA. Any unremitted amounts owing to CRA for each reporting period is a deemed trust claim against all of the assets of the company.

“You don’t pay taxes-they take taxes.”
― Chris Rock

Businesses are not supposed to make use of the deemed trust amount in their cash flow. On a practical level, all businesses do. If net HST is not paid, the CRA can garnish bank accounts, accounts receivable and any other income. Although they have not yet done it, they could also confiscate other assets.

If you have a deemed trust debt owing to the CRA, the business’s property is actually the property of CRA until the debt is paid off. A business, when it operates normally, is always making sales and collecting the tax on them. In between filing periods, even if the tax is all paid up with the previous filing, there is always a stub period between filings. So, technically, this debt works as revolving debt. So CRA always has that charge over a registrant’s property.

So once everything returns to the new normal, what will happen during the lag that is needed for businesses to use cash resources to get back up and running. Will CRA collectors continue to give a grace period, or will they start hammering your business right away using its normal collection procedures to collect the outstanding debt? Only time will tell.

“We contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.”
― Winston S. Churchill

Summary

These are the issues facing entrepreneurs and their companies and businesses concerning the HST in Ontario deferment. Should you take advantage of the deferral being offered by CRA? Only you can answer that question for yourself and your business. I just wanted to highlight all of the issues that you should consider. It isn’t a simple yes or no answer.

The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

We are all part of our community and we have to all cooperate to help stop the spread of this infection. Social distancing and self-quarantining are sacrifices that are not optional. Families are physically separated from one another. I hope this information is helpful to you.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance, rest assured that Ira or Brandon can still help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

“The only difference between a tax man and a taxidermist is that the taxidermist leaves the skin.”

― Mark Twain

Are you now worried about how you are going to survive? Are you worried about how long your company will be able to pay employees who are not working and meet all of its other obligations? Those worries are normal.

The Ira Smith Team understands these fears. More notably, we know the requirements of the business owner or the person who has too much individual debt. Because you are dealing with these stressful financial issues, you are anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

“…but in this world nothing can be said to be certain, except death and taxes.”
― Benjamin Franklin

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

hst in ontario
hst in ontario
Categories
Brandon Blog Post

CANADIAN TRANSPORTATION AGENCY APPROVES CEASE OPERATIONS TO CASH REFUNDS

canadian transportation agency

If you would prefer to listen to the audio version of this Brandon’s Blog, please scroll to the bottom of this page and click on the podcast.

Introduction

As a result of the unprecedented situation caused by the COVID-19 pandemic, global airlines have either suspended operations entirely or are flying a shadow of their former schedule. Travellers are clamouring to get their money back. People who cannot work due to the coronavirus pandemic, need their money back to buy groceries or make their next rent or mortgage payment. While the Canadian government is working at warp speed to try to make things financially better for Canadians in the face of this virus crisis, it has also given the Canadian Transportation Agency the approval to give the airlines the clear for takeoff to ground your cash refund.

In this Brandon’s Blog, I describe how the government has given the airlines the green light to red light your refund and provide some useful suggestions.

The contract of carriage

Practically every country shut its borders to outsiders. On March 13, 2020, the Government of Canada provided a blanket travel advisory against all non-essential travel outside of Canada. Airlines, in action to the travel limitation, have cancelled trips. The friendly skies are a lot quieter these days.

When you purchase a flight you become a party to the airline’s contract of carriage. It is full of the usual legalese that you don’t read and just click accept as fast as you can. You do this because you really want to buy the ticket and you are afraid of losing that special reduced fare. It is a contract that sets out obligations between the airline and you and what happens in various events such as delay, cancellation by the airline and cancellation by the passenger.

The initial response of the airlines to COVID-19

Early on, the COVID 19 virus was just something that happened in China. It wasn’t something close to home. As the COVID-19 situation unfolded, the airlines implemented a number of policy changes to try to instill consumer confidence in members of the public who were thinking of voluntarily choosing not to fly. Most waived change penalties and allowed customers to seek credit for a future flight.

Most airlines became generous and allowed credit for even the most restrictive tickets, ones that normally become worthless when the passenger cancels. But what if the passengers didn’t proactively cancel and are left holding tickets for flights that aren’t operating because of the airlines, for one reason or another, cancelled on the passenger? Canadians are wondering now what happens to their money, at a time where they are already worried about an uncertain economic landscape.

Then the Canadian Transportation Agency changed everything

It is generally accepted under most contracts of carriage that when an airline cancels your flight they need to rebook you or provide a refund back to the original payment. COVID-19 has put all airlines in a liquidity crisis and they, like everyone else, need to conserve their cash. So, they do not want to give refund payment for all the cancelled flights. Especially with little to no revenue coming in right now.

Then the Canadian Transportation Agency came out with some important announcements. They were framed as public service announcements in keeping their staff and the general public safe from the coronavirus.

In reality, it is to help Canada’s airline industry. I am not saying that protecting Canada’s airlines is unnecessary or wrong, it isn’t. It just works against Canadians who need to be counting every penny. The announcements are:

  1. Exempting the airlines from having to pay additional compensation to anyone whose flight was either delayed or cancelled.
  2. Paused the dispute resolution mechanism between airlines and passengers until June 30, 2020. While passengers can continue to submit complaints, nothing is going to be done with them. The June 30 date is also subject to extension, depending on circumstances at that time.
  3. Canadian regulations concerning the conduct of our airlines were created in anticipation of relatively localized and temporary flight interruptions. None contemplated the kind of global mass flight terminations that have taken place over recent weeks as a result of the pandemic. It is necessary to consider just how to strike a reasonable and also sensible balance between airlines and their passengers in these remarkable and also unprecedented situations. They went on to say that in general, a suitable method in the existing context could be for airlines to provide affected travellers with coupons or credits for future travel, as long as the vouchers or credits do not expire in an unreasonably short period of time (24 months would certainly be considered practical most of the times).

So there you have it. In one fell swoop, the Canadian government, through the Canadian Transportation Agency, sanctioned the airlines to not have to pay compensation or give people back their cash when the airline cancelled flights because of the travel bans.

What the airlines are doing

The airlines’ stance is that they are offering affected passengers a credit equal to the value paid, for use on future travel, for up to 24 months. I was one of the affected travellers. In response to an email, I received advising my flights were cancelled, my airline was insistent that I had to state, either in writing or on a recording, that I was cancelling my flight before I could receive the credit.

Hold on – I am not cancelling; the airline already cancelled my flight and my contract entitles me to a refund. The airlines are referring to the statement issued by the Canadian Transportation Agency which, after suspending hearing passenger disputes, seeks fairness amongst parties because they see the COVID-19 pandemic as a force majeure. Something outside of anyone’s control. Their guidance seeks to balance things by directing airlines to provide credit, not a refund.

So what can affected passengers do?

Customers who bought their tickets from the airline and paid by credit card may wish to attempt to initiate a chargeback. Credit card issuers are pushing back and a 3-way fight will ensue as they act as a mediator between passengers and airlines. I believe in most cases the offer of credit will be viewed as a reasonable compromise by the card issuers, in light of the Canadian Transportation Agency CTA guidance. Otherwise, they will have to either take the credit or see if they can book the same trip far enough out to guess when the “all clear” will be sounded and when they think they could get time off work to travel again.

Now, some people may think that since they bought insurance for their trip, they can claim against the policy. Wrong! If you have trip interruption insurance, that only covers you if you have already gone on at least the first leg of your journey, and are away from home. It covers your additional expenses if you need to return home sooner or later than planned and compensates you for non-refundable portions of unused, pre-paid travel arrangements.

Similarly, trip cancellation coverage also won’t help you. That coverage is in case you need to cancel your trip at the pre-departure stage. It can repay 100% of your trip price if you require to cancel your trip for a reason that is covered by the insurance.

What is so bad about credit for future travel?

So what’s so bad about a credit? When everything returns to normal, whenever that may happen, people will want to travel again and will have credit. Unfortunately, that doesn’t help anyone who really needs the money now that they paid for a vacation they can’t take anyway.

Worse, a credit, as opposed to a future confirmed reservation, is not payment for a defined service. Rather, it is your prepaid deposit and the airline’s ordinary unsecured debt to you. What if the airlines need to seek bankruptcy protection as a result of the financial stress being placed on them? What if like Air Canada bankruptcy protection, which it has already done twice before, they need to restructure under the Companies’ Creditors Arrangement Act (Canada) (CCAA). That unsecured debt could easily be compromised to the point where it either partially or totally vanishes. At least a future reservation cannot be eliminated (we hope!).

On March 27, 2020, a class-action lawsuit was filed in the Federal Court in Vancouver, B.C. It is on behalf of all Canadians who paid for flights not taken, cancelled and not refunded. The class is seeking a refund of the payment in its original form. So, if you paid by credit card, you get the cash put back on your card. If you paid in cash, you get back the cash. It will be interesting to see how that litigation eventually shakes out.

Summary

The Ira Smith Team family hopes you and your family members are remaining safe, healthy and balanced. Our hearts go out to every person who has been negatively affected either by mere inconvenience or misfortune. We salute Canada’s front line health care, police, fire emergency and safety workers.

All Canadians need to do their part to stop the spread of this infection. Social distancing and self-quarantining are sacrifices that are not optional. Unfortunately, families are separated from each other.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe techniques in our professional practice. We continue to do so. We are not allowing any visitors to our office. If anyone needs our assistance, Ira or Brandon are available to help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

Are you now worried about how you are going to survive? Are you worried about how long your company will be able to pay employees who are not working and meet all of its other obligations? Those worries are normal. The executives at Canada’s airlines are also worried about the survival of their respective companies. Airlines may have to file for bankruptcy protection in order to do restructuring and turnaround.

The Ira Smith Team understands these fears. More notably, we know the requirements of the business owner or the person who has too much individual debt. Because you are dealing with these stressful financial issues, you are anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

Categories
Brandon Blog Post

CANADA EMERGENCY RESPONSE BENEFIT: THE COVID-19 WORKERS BENEFIT

The Ira Smith Team is fully operational and both Ira and Brandon Smith are available for telephone consultations, conference calls, and virtual meetings. Stay healthy everyone.

Canada Emergency Response Benefit introduction

Last week I wrote COVID 19 RESOURCES CHECKLIST FOR CANADIANS UNABLE TO WORK. In that Brandon’s Blog, I described the Government of Canada’s proposed help for Canadians needing financial backing to employed and self-employed people who have been impacted by the COVID-19 pandemic. I wrote the blog late on a Wednesday night. That was the night Parliament had an emergency sitting to create the legislation. The information I provided was based on the Government’s own website. When I woke up in the morning, the name of the legislation changed to the Canada Emergency Response Benefit.

So the purpose of this blog is to describe the proposed support and how this COVID 19 resources package magically appeared.

Back to the future leads us to the Canada Emergency Response Benefit CERB

When I went to bed on March 25, the Government had stated that it was going to get legislation passed to provide support to Canadians. The opposition parties indicated that they would cooperate to pass such legislation. Mixed in with the proposed wording, were wide-sweeping powers for Finance Minister Bill Morneau. If that was passed, it would have given him unprecedented spending powers not requiring Parliamentary approval. Needless to say, no Finance Minister in Canada’s history ever had such powers.

The opposition parties claimed that they were never told that would be part of the package. Especially as it had nothing to do with getting money into the people’s hands. So, they opposed that aspect of the proposed legislation. Discussions and negotiations went on all night.

The Liberal government of Prime Minister Justin Trudeau initially told everyone that they wanted to help Canadians by creating the:

  • Emergency Care Benefit
  • Emergency Support Benefit
  • EI Sickness Benefits modifications

The purpose of each “E”

The stated purpose of each “E” was as follows:

Emergency Care Benefit – Prime Minister Trudeau specified that the Emergency Care Benefit (ECB) is for those employees, who do not get Employment Insurance (EI) and do not have accessibility to paid sick leave. The brand-new ECB was to include assistance for both traditional employees and the self-employed. In the self-employed category, freelancers, professionals, consultants, part-time workers and also gig economy workers would be included. They would be given earnings protection if they are in self-isolation or in quarantine or looking after a relative in that scenario.

The ECB would provide up to $900 bi-weekly for Canadian workers that meet the criteria. The regular 1 week EI waiting time would also be forgoed.

Emergency Support Benefit – A new Emergency Support Benefit (ESB) was to be created for workers that lose their jobs and do not qualify for EI. This was mainly for the self-employed. The requirements to qualify for the ESB were not available when the Liberals wanted to pass the legislation. They obviously were scrambling. This is not a criticism, it was just the reality.

The ESB strategy was to provide 14 weeks of support as a revenue replacement device. The ESB, part of the overall COVID-19 resources plan was also being presented for those that cannot immediately apply for EI because they had coronavirus and were either self-quarantined or in hospital.

EI Sickness Benefits modifications – The Federal government had stated they would be proposing the following amendments to EI sickness benefits:

  • The one-week waiting duration for EI sickness benefits will be waived for new applicants who are quarantined so they can get the benefit for that first week of their insurance claim.
  • There will be a top priority for processing EI applications for Canadians under quarantine.
  • People getting EI sickness benefits as a result of quarantine will not have to show a medical certificate to be approved.

These proposed amendments would apply for those who have coronavirus or have entered into self-isolation, or for those that are looking after those in self-quarantine. The brand-new support, now called the Canada Emergency Response Benefit, was to help those Canadians who would otherwise not be approved for EI.

The Canada Emergency Response Benefit

When I woke up, I discovered that all the names had changed. Prime Minister Justin Trudeau announced the new Canada Emergency Response Benefit or CERB, was for those people losing income as a result of COVID-19. He claimed the aid will be in individuals’ pockets within 10 days of their applications. He said that the Canada Emergency Response Benefit will supply as a taxable benefit, $2,000 per month for those whose work has actually been affected or lost due to the COVID-19 pandemic. If you are still working, but not receiving your salary or wages due to this crisis, the Canada Emergency Response Benefit is there for you too.

He also stated that the Canada Emergency Response Benefit can be applied for through a secure government website beginning in very early April. The Federal government has yet to clear up whether the brand-new Canada Emergency Response Benefit can be accessed by people without immigration status or with perilous immigration standing.

The intent of the CERB is to encompass the proposed ECB, ESB, and the modifications for EI Sickness Benefits right into a single Canada Emergency Response Benefit program for those impacted by the coronavirus pandemic.

The Canada Emergency Response Benefit will be readily available to Canadians that:

  • reside in Canada, who are at least 15 years old;
  • have stopped working as a result of COVID-19 or are qualified for EI regular or sickness benefits;
  • had an income of at least $5,000 in 2019 or in the 12 months before the day of their application; and
  • that are or expect to be without employment or self-employment revenue for a minimum of 14 consecutive days in the first four-week duration.

The government website says that applications can begin on April 6.

canada emergency response benefit
canada emergency response benefit

Support to Businesses – the Canada Emergency Wage Subsidy

You have no doubt heard press reports and Prime Minister Trudeau, Finance Minister Bill Morneau, and other government officials talking about the wage subsidy program for support to Canadian businesses. Originally, they were talking about a 10% subsidy. To obtain the subsidy, businesses would be allowed to take a credit against the amount of income tax deducted from employees and remit the balance in the normal course.

That program changed quickly too. The government announced that rather than a 10% wage subsidy, it would increase to a 75% payroll allowance. Late last week, Prime Minister Trudeau said details would be released very soon. As recently as in his 11 AM press conference on Wednesday of this week, the PM said that Bill Morneau would hold a press conference later that same day to announce how the program will work.

As of this moment, all the government website says is:

“Providing small business with wage subsidies

We announced an up to 75 percent wage subsidy for qualifying businesses, for up to 3 months, retroactive to March 15, 2020. This will help businesses to keep and return workers to the payroll.

More details on eligibility criteria will start with the impact of COVID-19 on sales, and will be shared before the end of the month.”

Our Finance Minister is now scrambling trying to figure out how it is all going to work. Although we are taxed heavily in Canada, there is not enough income tax deducted from each paycheque to cover a 75% subsidy!

Right now what is being floated is that the program is for businesses that can show that business revenue has decreased by at least 30%. This maximum benefit is up to $847 per week. The program will be in place for the 12-week period beginning March 15. Businesses will need to show the decline from the same months in 2019.

My current understanding is that the program is available for any Canadian business that can show that they have a 30 percent decline in revenue to be eligible for the federal government’s 75 percent wage support. There is also being proposed a 6 week wait time.

I must caution that this is just my understanding. It is only a proposal. The Liberal government did not include this kind of wage subsidy language in last week’s legislation that passed. They now have to recall Parliament in order to get this legislation passed. No doubt things will change before this is put into legislation.

That condition could be a killer for many companies and businesses. It does not take into account seasonality changes, 1-year-old startups or just differences in revenue patterns this year from the previous one. As soon as the government releases details of the program, I will write Brandon’s Blog about it.

“There’s no harm in hoping for the best as long as you’re prepared for the worst.”
Different Seasons, Stephen King

Canada Emergency Response Benefit summary

I hope you have found this Canada Emergency Response Benefit Brandon’s Blog informative and useful. The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

We are all part of our community and we have to all cooperate to help stop the spread of this infection. Social distancing and self-quarantining are sacrifices that are not optional. Families are physically separated from one another. I hope this information is helpful to you.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance and is unable to go out, either through self-quarantine measures or just general precautions, rest assured that Ira or Brandon can still help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

Are you now worried about how you are going to survive? Are you worried about how long your company will be able to pay employees who are not working and meet all of its other obligations? Those worries are normal.

The Ira Smith Team understands these fears. More notably, we know the requirements of the business owner or the person who has too much individual debt. Because you are dealing with these stressful financial issues, you are anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

“Man can live about forty days without food, about three days without water, about eight minutes without air…but only for one second without hope.”
Hal Lindsey

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

canada emergency response benefit
canada emergency response benefit
Categories
Brandon Blog Post

PERSONAL FINANCE TIPS FOR BEGINNERS: 4 TIPS TO PREVENT A MONEY PANDEMIC

personal finance tips for beginners

If you would prefer to listen to the audio version of these personal finance tips for beginners Brandon’s Blog, please scroll to the bottom of the page and listen to the podcast.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings.

Keep healthy and safe everybody.

Introduction

We are all treading in uncharted waters. Prudent personal finance tips for beginners require all of us to reexamine our income and expenses. Especially in a coronavirus time of self-quarantine and social distancing.

The purpose of this Brandon’s Blog is to provide 4 super useful tips to prevent you from having a money pandemic.

Tip 1 – Understand your cash flow

So many people are laid off because the company they worked for was forced to shut down. Others are not working because they must be in self-quarantine. The world economies are sputtering and they themselves are on life support. So, naturally, personal income and spending have been drastically transformed.

Establishing a family budget, tracking your actual vs. budget and adjusting as we must in real-time, was always a prudent personal finance tips for beginners. Even when there was no Covid-19 pandemic, it was a basic way to understand your family’s finances. Now, in order to weather this situation foisted upon all of us, we need to find possibilities for adjustment in order to survive this temporary, yet devastating coronavirus crisis.

Creating a family budget is not rocket science. It is as simple as looking over your bank account(s) for the last few months before our world changed and list all items of income and then total that list. Similarly, look at all expenses, whether paid for by cheque, credit card, debit card, automatic debit or cash withdrawals. List all those expenses and total them.

Then subtract the total expenses from total income and hopefully, the result is either zero or a positive number. If the number is negative, it means that you were spending more than you took in. You were relying on credit to achieve that result and were not able to fully repay the monthly amount you borrowed the following month. Maybe what you owe on your credit card only went up each month as you were only able to make the minimum monthly payment.

“Money is a terrible master but an excellent servant.”
—P.T. Barnum, founder, Barnum & Bailey Circus, showman and businessman

Tip 2 – Follow your budget plan and adjust your spending behaviour during the crisis

Now with no or little income because of the new situation, you find yourself in, you must take a hard look at all of your expenses. Ironically, by staying home, it may be easier now for you to cut down on your expenses and for managing family finances.

Now is the time to cut out anything that is not essential. For sure right now you are not spending money on your nightlife, sports, transportation and vacations. The only spending you should be doing now is on basics. Groceries, rent or mortgage, utilities and perhaps education. If you are lucky enough to have enough income to pay for these fundamental costs and have money left over, that is a good thing.

You are not walking into clothing, shoe or electronics stores and shopping. You have to guard against using your spare time for shopping online. Rather, invest in yourself. There are many free online resources where you can learn something new, work on your indoor hobby you love but never have enough time for or improve your existing skills. YouTube is an obvious place to go for education.

If you find that your income is not sufficient to pay for your necessary expenses, you must get out ahead of it. Stories are now coming out about people contacting their landlord to ask for understanding and compassion if the people are late in paying their rent in April. It may be an ongoing situation during this crisis until you can get back to work. The Ontario Landlord and Tenant Board have advised that it is suspending the issuance of eviction orders and all hearings associated with expulsion applications unless the matter relates to an immediate problem such as an illegal act or major safety issue.

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings. Keep healthy and safe everybody.

“A formal education will make you a living; self-education will make you a fortune.”
– Jim Rohn

Tip 3 – Take full advantage of the current situation

If you are enjoying your normal or close to normal family monthly income, this can be a terrific possibility for you to enhance your emergency fund savings. With so much of our spending linked to get-togethers and events, relocate what you usually would have spent in those groups into a savings account.

You never know the length of time a hard period can last, or what surprises are around the corner. So, prepare for the most awful situation while we all wish for the very best. When the all-clear is sounded, you may be able to use all or some of the new emergency fund to pay down some debt.

If you are one of the many forced to survive to handle the unexpected loss of earnings when the government informs you to stay at home can be ravaging. If you’re facing lost or decreased earnings, first go through the cost-saving measures I described above.

As I previously stated in the case of renters, It is necessary to contact your creditors immediately. They recognize how the virus is affecting people and will likely cooperate with you. The sooner you connect with them, the more willing they could be to work with you.

The federal government is already asking lenders to be tolerant. The Canadian government has also announced its COVID-19 Economic Response Plan to help small and medium businesses and Canadian workers. You may very well be eligible for either the new Canada Emergency Response Benefit and improved access to Employment Insurance sickness benefits.

“A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty.” Winston S. Churchill

Tip 4 – When the all-clear is sounded: post-coronavirus recovery

After this crisis has passed, you might have the temptation to splurge and then go back to your pre-crisis spending. However, doing that will certainly stop you from rebuilding your savings. Keep in mind that we can never forecast when an emergency situation can strike us in life. When the situation passes, make the effort to re-assess which non-essential costs you can continue to do without. Nobody’s economic life is ensured and it’s a great rule of thumb that having 3-6 months of your spending in financial savings will help make sure that next time you are better prepared. Please remember and follow these recommendations when the current crisis is over.

This situation is not going to be forever. These are unmatched times. Remain tranquil and recognize that humanity has made it through previous horrors, pandemics and world wars included. As Canadians and human beings, we will hopefully all get through this. To take your mind off of the current world, this is the time to stay positive. Investing in yourself will lift your spirits. Pick up that new language, hobby or skill through free online resources.

Take the time as a business owner to look at how you can bring more of your business online to lower costs in the long run. Learn the new skills necessary to run as much of your business virtually that you can. There will be nothing wrong with running your business that way when this is over. You may just find that you end up with more freedom and time, and possibly money, in a post-Covid-19 world by being more virtual than in person.

“The will to win, the desire to succeed, the urge to reach your full potential these are the keys that will unlock the door to personal excellence.” – Confucius

Summary

The Ira Smith Team family hopes you and your family are staying safe, healthy and well-balanced. Our hearts go out to every person who has been affected either through inconvenience or personal family tragedy.

We are all part of our community and we have to all cooperate to help stop the spread of this infection. Social distancing and self-quarantining are sacrifices that are not optional. Families are physically separated from one another. I hope these personal finance tips for beginners are insightful for you.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance and is unable to go out, either through self-quarantine measures or just general precautions, rest assured that Ira or Brandon can still help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

Are you now worried about how you are going to survive? Are you worried about how long your company will be able to pay employees who are not working and meet all of its other obligations? Those worries are normal.

The Ira Smith Team understands these fears. More notably, we know the requirements of the business owner or the person who has too much individual debt. Because you are dealing with these stressful financial issues, you are anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

“You miss 100% of the shots you don’t take.” – Wayne Gretzky

The Ira Smith Team is totally operational and both Ira and Brandon Smith are here for a telephone consultation, conference calls and virtual meetings. Keep healthy and safe everybody.

Categories
Brandon Blog Post

COVID 19 RESOURCES CHECKLIST FOR CANADIANS UNABLE TO WORK

The Ira Smith Team is fully operational and both Ira and Brandon Smith are available for telephone consultations, conference calls, and virtual meetings. Stay healthy everyone.

Introduction

On March 18, 2020, Prime Minister Justin Trudeau introduced a new set of financial steps to support the Canadian economy during these challenging and unprecedented times. These steps, delivered as part of the Federal government of Canada’s Covid 19 resources package, will supply up to $27 billion in support to Canadian workers and businesses. This Brandon’s Blog focusses on the government’s programs for workers.

I caution that at the time of writing this blog, many details of the available support have not been fully stated and documented. So accordingly, certain information known today about the proposed plans may change.

NOTE: After writing this Brandon’s Blog, legislation passed by the Canadian Parliament has amended plans for the Emergency Care Benefit and the Emergency Support Benefit. So, the information in this blog should be read as the policy issues the Canadian government wishes to address. In the next Brandon’s Blog, I will provide an update.

Covid 19 resources for Canadian workers

The new programs announced for specifically due to the coronavirus pandemic are for people who need assistance because they are:

  1. dealing with unemployment;
  2. Ill with the coronavirus is quarantined and therefore cannot work; or
  3. well however cannot go to work since they are taking care of someone ill with the coronavirus.

The new government programs announced are the:

These programs belong to a new set of economic actions to help support the Canadian economy following a Canada-wide reaction to the coronavirus.

Emergency Care Benefit

Prime Minister Trudeau stated that the Emergency Care Benefit (ECB) is for those workers, who do not receive Employment Insurance (EI) and do not have access to paid sick leave. The brand-new ECB will include support for the self-employed, contractors, freelancers, part-time workers and gig economy workers, with income security if they cannot work due to the fact that they are in self-isolation or in quarantine or looking after a family member in that situation.

The Canadian Government introduced the ECB as part of Canada’s economic recovery plan to offer financial support every 2 weeks to those who meet the standards who have to stay at home. The ECB will cover Canadians who are sick, quarantined, have been instructed to self-isolate or are taking care of someone with coronavirus.

The ECB will offer up to $900 bi-weekly for Canadian workers who meet the criteria and are impacted by the implementation of processes to stop the spread of this pandemic. The normal 1 week EI waiting period will be waived.

Standards to get approved for the ECB is extremely specific. Applications for the ECB are to become readily available in April 2020, the government said. Applications can be made via your Canada Revenue Agency (CRA) account, your My Service Canada Account or by calling a toll-free number, which they have actually not yet established.

The ECB does not apply to people that are laid off, however, they are not sick, quarantined or looking after someone else as a result of the coronavirus. The ECB will also cover parents of children that need treatment or supervision because of school closures and are therefore not able to earn income from employment, irrespective of whether they qualify for EI or otherwise.

Thomas Davidoff, an economics professor at the University of British Columbia, claimed the ECB is a good beginning however governments ought to also be looking at other measures like implementing a rent freeze.

Emergency Support Benefit

A new Emergency Support Benefit (ESB) will be created for workers that lose their jobs and do not qualify for EI, including the self-employed. Currently, the qualification criteria for the ESB has not been disclosed. The ESB plan is to provide 14 weeks of support as an income replacement tool.

The ESB, part of the overall Covid 19 resources package is also being introduced for those that cannot apply for EI and are ill. The ESB will also be available to people that lose their job or see a reduction in hours as a result of the slump in the economy. The ESB will be delivered through the CRA to give up to $5 billion in support of Canadians who are not eligible for EI and are dealing with unemployment.

From the information on the Government of Canada’s website, the ESB is also set to come out in April. Tammy Schirle, an economics professor at Wilfrid Laurier University stated that while the ESB is a step in the right direction, the Prime Minister’s statement had very little real information on how the program will work.

Unfortunately, as I write this Brandon’s Blog, I cannot give you any more specifics. The Liberal government’s $82 billion help bundle to assist Canadians facing the coronavirus pandemic is delayed in the House of Commons. The opposition parties are balking at some measures in the suggested legislation that would offer Finance Minister Bill Morneau extraordinary powers never seen before in Canada.

It appears the only distinction between the ECB and the ESB is that the ECB is for individuals who are sick or caring for an ill person, while the ESB is for people that are well yet cannot work because they have been laid off and are also disqualified for EI.

EI Sickness Benefit

The Federal government of Canada has revealed that as part of the overall economic resources package:

  • the one-week waiting period for EI sickness benefits will be waived for brand-new claimants that are quarantined so they can be paid for the first week of their insurance claim;
  • there will be priority EI application handling for EI sickness claims for Canadians under quarantine; and
  • individuals applying for EI sick benefits because of quarantine will not have to provide medical certification to qualify.

The EI Sickness Benefit will be for those who have acquired coronavirus or that have gone into self-isolation, or for those that are taking care of those in self-isolation. The new provisions include assistance for those who do not generally qualify for EI.

If a person believes they are eligible, they can call the new committed toll-free phone number 1-833-381-2725 (toll-free) or online. For those who cannot apply because of self-isolation, EI sickness benefits can be filed later on and also backdated. Unfortunately, that still will not reduce any financial trouble they may experience in the meantime.

The checklist

If you would like to download for no-cost our checklist to help you understand what program you may qualify for, please CLICK HERE to download the checklist.

The checklist will help you find out what benefits you may be entitled to in the following situations because you are:

  1. Laid off due to work closures but you are not sick or caring for someone who is.
  2. Unable to work due to self-quarantine.
  3. Laid off and ineligible for Employment Insurance (EI).
  4. Self-quarantined and ineligible for EI.
  5. Unable to work due to school closures.
  6. Sick due to having contracted the virus through your work.

So please feel free to download the document HERE. It is a useful guide that you can refer to quickly to figure out what category you fit into. Again, I caution that this information is as described to date by the Government of Canada. It has yet to be enacted into legislation. Accordingly, it is tentative and subject to change.

Summary

We are all part of our community and we must all work together to help stop the spread of this virus. Social distancing and self-quarantining are sacrifices that need to be done for sure. Families will not be able to get together face to face. The use of technology to hold virtual family gatherings will have to suffice. I hope this Covid 19 resources blog is informative for you.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance and is unable to go out, either through self-quarantine measures or just general precautions, rest assured that Ira or Brandon can still help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

Are you now worried about how you are going to survive? Are you worried about how long your company will be able to pay employees who are not working and meet all of its other obligations? Those worries are normal.

The Ira Smith Team understands these fears. More notably, we know the requirements of the business owner or the person who has too much individual debt. Because you are dealing with these stressful financial issues, you are anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

covid 19 resources
covid 19 resources

The Ira Smith Team is fully operational and both Ira and Brandon Smith are available for telephone consultations, conference calls, and virtual meetings. Stay healthy everyone.

If you would like to download for no-cost our checklist to help you understand what program you may qualify for, please CLICK HERE to download the checklist.

Categories
Brandon Blog Post

WORKING REMOTELY IN CANADA – RELAX, YOU ARE DOING THE BEST YOU CAN

working remotely in canada

If you would prefer to listen to the audio version of this Brandon’s Blog, please scroll to the bottom of the page and click on the podcast

On March 23, 2020, Premier Doug Ford announced the shutdown of all non-essential services across the province in an effort to slow the spread of COVID-19. The Ira Smith Team will be working online remotely and both Ira and Brandon Smith are available for telephone consultations, conference calls, and virtual meetings.

Introduction

Working remotely in Canada is a hot subject today as the COVID-19 breakout has people preventing most human to human meetups. Every person’s health and wellness must be the number one priority. Functioning from another location for a time appears to be the smartest way to secure everyone’s well-being.

The purpose of this Brandon’s Blog is to explore some of the issues involved with Canadians’ need to work remotely if your job can be done working remotely. I will also look at ideas for keeping the entrepreneurial business alive.

Even those normally working remote jobs from home may have problems now

As a precaution from the COVID-19 pandemic, the majority of businesses have informed their staff that they will be functioning remotely for the next two to three weeks, or possibly longer. For some employees, working remotely is a new thing. During these coronavirus social distancing times, remote work will simply be one more day in an electronic nomad’s life. Nonetheless, even those who are accustomed to working remotely may find it harder to operate nowadays.

There are extra stress and anxiety as well as uncertainty. That’s before you throw in many other aspects like all the youngsters at home and the need for homeschooling because of all the school closings. People that have actually been working from another location for several years have discovered that they actually enjoy entering into the office when the demand for a face to face meeting arises. To the degree that has actually kept remote employees really feeling included with a group and a business community, that opportunity has now been removed.

Working remotely in Canada now has lots of newbies

For some teams and staff members — working from another location is undiscovered waters. Functioning remotely is currently a brand-new experience for many. Remotely working from home will with any luck be an efficient way of regulating the potential spread of COVID-19. Whether working remotely is a routine thing for your group or not, the coronavirus situation recently has actually pushed many companies to adopt it as default.

People might see that functioning from their residence will cause durations of decreased performance, anxiety and a lack of communication. While taking these necessary safety measures to keep you and our community risk-free is a wonderful thing, working remotely is most definitely an adjustment. Your residence may not feel as office-ready as you may like. Anyone working from another location must have accessibility to suitable platforms for completing their job. Workers that working remotely in Canada frequently discover that working from home is different than they expected and that it needs somewhat different abilities and habits.

From an innovation point of view, working from another location can be rather comparable to operating in the office. However, working remotely is not without its flaws. How much each person will take pleasure in working from home will, of course, vary a great deal from one person to another.

The largest advantage of working from home is versatility, however, this can be a drawback too. Working from home can be really tough for those not used to it and not have been their choice. It typically calls for a much greater degree of personal accountability and organization than working in the office. Theoretically, remote jobs can appear truly lonely, however, it doesn’t need to be. Managers need to make certain that they will continue to support their staff with online team meetings.

Among the best aspects of working remotely is that you do not need to wake up at a certain time every morning (unless it’s agreed with the team). On the other hand, staying with your regular timetable, as much as possible, helps to keep both your spirits and your efficiency up. It also helps to get dressed and not stay in your PJ’s all day long, even if you do not have a video conference that day!

Among the challenges of working remotely from home is that we often start to really feel isolated. Another factor that some people dread with the concept of a remote job is that they do not completely trust their ability to properly handle all that time. An effective time management approach is key. While the method that everyone uses might differ, one point particularly helpful for concentration and productivity is to make daily and weekly checklists of tasks that you are aiming to complete.

However working from another location is often seen to have one great drawback – you’re not as visible to your associates and supervisors. If managers set normal on-line group conferences where results are always a requirement to be discussed, it might, in fact, improve the efficiency of staff members, conquer the feeling of isolation and allow projects to push forward. So if you are working remotely, to deal with the stress and anxiety brought on by isolation on top of the pandemic fears, don’t be afraid to use messenger programs to help keep your connections with colleagues.

Maybe working from home will become a thing

The anxiety that people would not work as hard when working remotely will most likely show to be misguided. Instead, I think it will appear that everyone works more! This forced boom in remote jobs may be relatively short-lived, even if the fad behind it is not. Whenever things return to normal, it will certainly be interesting to see if companies want to continue having more employees working from home.

There are numerous advantages to having the alternative of working from home in Canada for a day. It is a bit of a novelty. But how about each day? Will employees ask if they can turn their work into a work from the home job after this crisis is over? For now, the hope is that working from home will avoid any type of spread of the virus as well as assist in social distancing. But what if both employers and employees favour this new arrangement for the long term, albeit for different reasons?

According to BuzzFeed News, some people already are hoping for that moment when working remotely will broadly replace working face to face. Will those employers who never believed in employees or teams working remotely start finding that it can work? Will employees and employers alike start liking the new benefits it brings? Things like work/life balance, employee satisfaction, staff retention, and cost savings?

Working remotely online isn’t for everyone

We are all stressed concerning our family and friends, particularly those most vulnerable. Working remotely in Canada has its own added collection of difficulties and anxieties. Working from another location can be the dream. For some workers though, working remotely is not an option. Every person working in the hospitality business, factory jobs, dental and medical offices, for example, cannot work remotely in Canada.

This help for the unemployed, provided as part of the Federal government of Canada’s COVID-19 Economic Response Plan, will supply up to $27 billion in direct assistance to Canadian workers and companies. Both major programs for those left unemployed and low-income individuals are called the Emergency Care Benefit and the Emergency Support Benefit programs.

What can businesses do to stay alive in these uncertain times?

There has never been a more vital time to connect with your customers, clients or patients than now. As most of us are working from home or otherwise remaining inside because of COVID-19, you are most likely to have not been seeing as many customers, and perhaps even none at all. And that’s what we’re talking about today. The what and how of interacting during this massive business interruption.

Communicating with your clients is most essential, Starting Now! So, what kind of communication makes the most sense? There are 3 crucial messages you need to get out to your customers as soon as possible.

First, provide an update on where you are at with your business. I know I’ve gotten a lot of emails in the last few days doing that. A short statement concerning exactly how COVID-19 has impacted your company and your solution for that. If you can maintain your business, let everyone know the steps you are taking. If you now have modified business hours, tell everyone. That is going to let everyone know the best way you can continue to serve them.

In my case, we are all using a mixture of working remotely and being in the office. When in the office, we are limiting the number of people at one time and are keeping our distance. That allows us to maintain our normal business hours.

Second, let your clients know the steps you are taking to ensure their safety and security throughout this time. Let them know that you are cleansing regularly. Let them understand how you are handling social distancing by doing delivery of an item or giving them online webinars to stay connected.

We are considering starting a new online community to allow people who are feeling anxious over their debt situation or just have questions on how to handle certain situations during this crisis to communicate with us and each other. Webinars may also be part of that. If you have any thoughts on topics you would like to see covered please let us know by email. Your feedback will help us immensely.

And this is the moment to impart self-confidence that you’re taking action. Third, urge them to continue using you and thank them for their support.

In my case, although we have always used proper cleaning methods in our office, they are now enhanced. If you wish to meet with us in person, we can do that. However, don’t expect me to shake your hand. Also, if I give you a pen to sign documents, you can now keep it. Small things, but necessary ones. If you are not going out, then I am happy to meet with you on the phone or even have a virtual meeting.

There are ways you can stay in contact with your customers without meeting face to face.

First of all, use your company website. Add messaging as to how you are continuing your business so your clients can see it.

Second, if you have a normal e-mail marketing channel, or a blog or a newsletter that you use on a regular basis, now is the time to make use of that for your messaging. And let your clients know, you will be making use of that for future updates. In our case, we are using Brandon’s Blog to get the word out that we are open to help everyone either in person or through the use of technology. As a matter of fact, we have had many meetings this week to get ready to begin two new cases. On both of them, we haven’t met anyone in person yet and our meetings were held both from the office and from Ira’s and Brandon’s respective homes.

Third, if you use social media sites, like Facebook, Twitter, YouTube or Instagram, use those to get your message out to your customers and followers. If you are not using any of those networks, it may be a good time to start using some of them for your business now.

Regular messaging is key. Once you start using these methods for normal updates, your clients will get used to hearing from you in this way and will respond.

COVID-19 has added additional difficulties to doing business, yet it doesn’t need to be impossible. Now is the time to communicate promptly and also clear with your clients.

Summary

We are all part of our community and we must all work together to help stop the spread of this virus. Social distancing and self-quarantining are sacrifices that need to be done for sure. Families will not be able to get together face to face. The use of technology to hold virtual family gatherings will have to suffice.

Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance and is unable to go out, either through self-quarantine measures or just general precautions, rest assured that Ira or Brandon can still help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

Are you now worried about how you are going to survive? Are you worried about how long your company will be able to pay employees who are not working and meet all of its other obligations? Those worries are normal.

The Ira Smith Team understands these fears. More notably, we know the requirements of the business owner or the person who has too much individual debt. Because you are dealing with these stressful financial issues, you are anxious.

It is not your fault you can’t fix this problem on your own. The pandemic has thrown everyone a curveball. We have not been trained to deal with this. You have only been taught the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt problems while avoiding bankruptcy. We can get you debt relief now.

We look at your whole circumstance and design a strategy that is as distinct as you are. We take the load off of your shoulders as part of the debt settlement strategy we will draft just for you.

We understand that people facing money problems require a lifeline. That is why we can establish a restructuring procedure for you and end the discomfort you feel.

Call us now for a no-cost consultation. We will listen to the unique issues facing you and provide you with practical and actionable ideas you can implement right away to end the pain points in your life, Starting Over, Starting Now.

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Brandon Blog Post

CORONAVIRUS SAFETY AND READINESS TIPS FOR YOU – VIDEO ***

coronavirus safety and readiness tips for you

I hope the coronavirus information in this video is helpful to you. During these difficult times, everyone is doing their part to limit the spread of this dangerous virus. Ira Smith Trustee & Receiver Inc. has always employed clean and safe habits in our professional practice and continues to do so.

If anyone needs our assistance and is unable to go out, either through self-quarantine measures or just general precautions, rest assured that Ira or Brandon can still help you. Telephone consultations and/or virtual meetings are available for anyone wanting to discuss their personal or corporate situation.

So hopefully these coronavirus safety tips are helpful to you. We are available to be of assistance to you.

Stay healthy my friends.

coronavirus safety and readiness tips for you

 

Coronavirus safety and readiness tips for you

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Brandon Blog Post

TOILET PAPER FRENZY: THE DIRTY TRUTH

toilet paper frenzy

If you would prefer to listen to the audio version of this Brandon’s Blog, please scroll to the bottom of this blog and click on the podcast.

Introduction

Bathroom tissue is not effective protection against getting the coronavirus. Nevertheless, a toilet paper frenzy has taken over the entire world. This Brandon’s Blog discusses this phenomenon to try to bring some understanding to this global panic playing out before our very own eyes.

SPECIAL: CLICK ON THE RED BUTTON TO WATCH OUR NO-COST BONUS VIDEO ON CORONAVIRUS SAFETY TIPS

toilet paper frenzy

 

The global toilet paper frenzy crisis

Throughout the globe information of the potentially extensive COVID-19 coronavirus infection has sent people into supermarkets, pharmacies and big box stores. Panic buying has been rife amidst the worldwide spread of the brand-new coronavirus, with consumers all over the world stockpiling goods like hand sanitizer, canned foods as well as toilet paper.

Coronavirus panic shopping has produced awful behaviour from customers around the world, including physical altercations in numerous stores. Japan was among the first countries to see the coronavirus scare stimulate a number of false reports on social media advising that toilet tissue is anticipated to run out, stimulating a customer rush to stockpile. The New York Post reported that the toilet paper crisis has set off fistfights in supermarket aisles in Australia, where one household unintentionally contributed to the dilemma by purchasing 48 boxes of bathroom paper instead of 48 rolls. Those more than 2,000 rolls are roughly 12 years’ worth!

The BBC reported on a risky toilet paper heist at dawn in Hong Kong. In Japan, Sora News claimed that a store owner decided the only way to shield his toilet paper from desperate toilet paper thieves was to chant conventional curses to shield his inventory.

Consumers in different nations were driven by various factors for buying out toilet paper:

  • In China, people who had no access to surgical masks went for toilet paper due to the assumption that toilet paper can be used to make makeshift masks.
  • In Taiwan, bathroom tissue flew off the racks due to the fact that there were reports that the island’s paper stocks were being dedicated to the making of medical masks. The fear was that it would ultimately impact bathroom tissue products. Authorities later had to refute this as false.
  • In the case of countries like the United States, Canada, and Australia, panic-buying and the need to hold on to as much toilet tissue one can lug is probably driven by the worry of the unknown. It is not created by either any type of facts or any real need for even more toilet paper.
  • Scientists at INSEAD Singapore, where the bathroom tissue products were jeopardized early in the crisis, stated the panic buying there was also driven by an element of retail therapy; except as opposed to spending money on the most recent electronics and also clothing, people bought helpful things as buying those items strengthened their sense of control over the situation.
  • In Ireland, people admitted to The Irish Times that all the panic-buying was admittedly over the top, yet they were doing it anyway.

Amethyst Amelia Kelly, better known as Iggy Azalea, is an Australian born singer-songwriter who moved to the United States in her teens. She said that she will not quit trying to get her Mom to admit panic buying is stupid unless she sees her mother consume all her canned fish and uses all her toilet paper!

Toilet paper is flying off the shelves in Canadian communities

Canadians should not be worried about the supplies of important things as they prepare for the reality of even more extensive cases of COVID-19 coming to Canada. The ongoing coronavirus pandemic has created mass hysteria. People are flooding large merchants like Costco over fears that vital items like bathroom tissue might soon diminish. So far, right here in Canada, our strait-laced impulse for law and order even throughout a pandemic panic has led us to line up in an orderly fashion for hours in stores just for the right to strip shelves of bathroom tissue down to their steel rivets.

Buying out Costco for toilet paper is panic buying for some kind of armageddon. A staff member at Saskatoon’s southeast Costco area store states more toilet paper will be coming in each early morning, but she expects the supply to be gone in the first hour the store is open. Signage at Sudbury’s Costco says 3 brand names of toilet tissue has been sold out.

Panic buying has created opportunities for some unruly behaviour in Canada. There have been reports of ordinary people trying to sell toilet paper online with huge markups. Some unscrupulous people are trying to sell information products to fight against coronavirus that serves no useful purpose. They are just trying to take advantage of people’s fears.

To its credit, the Canadian government has early on announced a stimulus package. Perhaps the uptick in HST on toilet paper sales being beyond any budgeted amount, in some small way, can help to fund the significant additional cost that will be incurred by the government.

Why is everyone stocking up on toilet paper?

Bathroom tissue runs has struck many as peculiar, given that the need for the item is not anticipated to expand as people get used to spending more time in their homes. Panic purchasing has become a dependable attribute of the coronavirus epidemic, just like a fever or dry cough.

Panic purchasing is caused and sustained by anxiety, and a determination to head to lengths to quell those anxieties. A big component of panic purchasing remains as a result of FOMO’s, the fear of missing out taken to a ridiculous degree.

Similar panic purchasing often comes before snowstorms, tropical storms and hurricanes. But the global nature of the coronavirus spread together with access to information, both true and false, today spread globally by social media causes the hysteria today. This is different than ever seen before in previous epidemics, like the SARS outbreak.

The coronavirus pandemic is engendering a type of survivalist psychology, where we may have to live as long as possible in our homes. Therefore, we must all stock up on basics. That definitely includes toilet paper. Besides, if we lack bathroom tissue, what can we change it up with?

For people, who assume a lockdown is imminent, the reality is that they believe that building up their toilet paper stash was entirely worth it. If it provides the feeling that they had actually done everything that they could to protect against the virus, it frees them to think about various other things than coronavirus.

Greater than anything else, there is a need to have a feeling of control over a circumstance whose end result nobody can currently predict. Purchasing toilet tissue could be one way of coming to grips with dealing with an unknown.

Dr. Dimitrios Tsivrikos, who specializes in consumer and behavioural psychology at the University College London, told CNBC that bathroom tissue has become an icon of mass panic. He also said that since bathroom tissue has a much longer shelf-life than many food products, and is prominently displayed in aisles, we are psychologically drawn to buying it in times of uncertainty.

Dr. Steven Taylor, a Professor and Clinical Psychologist in the Department of Psychiatry at the University of British Columbia, Vancouver, described to CNN when people are informed something unsafe is coming, but all you require to do is clean your hands, the activity doesn’t appear proportionate to the danger. Special risk needs special safety measures. He assumes that is what is taking place. Toilet paper frenzy is this kind of response. Bathroom tissue has actually become a symbol, a symbol of security for some people.

Psychologist Baruch Fischhoff informed CNN on the toilet paper frenzy: Unless people have seen … assurances that everybody will be taken care of, they are left to rate the probability of needing the extra bathroom tissue, faster rather than later. The fact that there are no official guarantees might enhance those chances.

SPECIAL: CLICK ON THE RED BUTTON TO WATCH OUR NO-COST BONUS VIDEO ON CORONAVIRUS SAFETY TIPStoilet paper frenzy

 

Summary

As people stress over the coronavirus crisis, toilet paper is the one thing they don’t intend to be caught without. What is stressing you out? Is your debt load, or your company’s debt load, one of the things you worry about?

The Ira Smith Team is available to help you at any time. We offer sound advice and a solid plan for Starting Over Starting Now so that you’ll be well on your way to a debt-free life in no time.

The Ira Smith Team understands just how to do a debt restructuring. Much more notably, we know the demands of the business owner or the person who has too much debt. Due to the fact that you are managing these stressful financial problems, you are anxious.

It is not your fault you cannot fix this issue on your own. You have just been shown the old ways. The old ways do not work anymore. The Ira Smith Team makes use of new contemporary ways to get you out of your debt troubles while avoiding bankruptcy. We can get you debt relief now.

At Ira Smith Trustee & Receiver Inc., we take a look at your whole condition and layout a strategy that is as unique as you are. We take the load off of your shoulders as a part of the debt negotiation approach we will create just for you.

We understand that individuals facing financial troubles require a lifeline. That is why we can establish a restructuring procedure for you as well as end the pain you feel.

Call us now for a no-cost consultation. We will certainly get you or your business back on the road to a well balanced and healthy life and end the pain factors in your life, Starting Over, Starting Now.

Call a Trustee Now!