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Reply To: Hi everyone! We own a cafe business and have applied for working capital, government finance scheme and have been denied both.Our debt is low (under 20k) but to keep trading we would need to settle this debt as 60% is owed to our suppliers.Do we keep looking for finance? We have three wage subsidy but that’s for our employees!

Morena – the banks are saying that they have lots of money to lend, albeit even with the Government Guarantee they still are going to make sure they believe they can get the money back over the term of the loan, so that just makes them careful – frustrating. I could get one of our expert advisors team members (they are ex-bankers) who now help Kiwi’s secure loans to give you a call to talk through your options – let me know if that is something you would value and I can pick that up off the platform – @manaaki.io">andy.hamilton@manaaki.io – no obligation too.

To your question, on do you keep looking for finance? First thing, can you generate enough cash flow when we move levels to keep going in the business, or will you get deeper into debt? That is a big thing to be honest about now – then if you think you can survive, go and talk (virtually, on the phone) to your suppliers – they will be expecting your call and ask if they can support you to get back up and running, so you can be a continuing good customer for them in the recovery.

Final thing – as owners, you yourself may also be able to apply for the wage subsidy for you – it is not limited to staff – check out some of the other answers on these forums around this point – https://www.manaaki.io/forums/forum/covid-19-funding-support/

All the best – Andy