How high is the additional financial requirement due to the Corona crisis?
We are all driving on sight. However, all entrepreneurs need to make robust assumptions and decisions. In our view, the starting point is an (updated) financial plan. An essential part of the financial planning is state aid to mitigate the consequences.
In addition to loans, this includes tax and social security deferrals, relief for short-time work and the possibility of deferrals for residential and commercial leases for the period from April 1, 2020 to June 30, 2020.
However, the statutory regulations must be observed and complied with. For example, extraordinary termination due to payment arrears is only excluded if effects of the pandemic are the cause of the payment arrears. The tenant must provide credible evidence of this to the landlord and be able to prove this in the event of a dispute if he does not want to risk an extraordinary termination. He can prove this, for example, by professionally prepared financial planning and application for Corona assistance.The temporary extraordinary protection against dismissal does not mean that the obligation to pay rent no longer applies. The arrears, together with default interest, must be paid by 30 June 2022 at the latest.
We are fully operational to support you in these challenging times. Please do not hesitate to contact us.