Examine your resort’s business fundamentals

By R. Scott MacGregor The COVID-19 story may be just beginning to unfold, but now is the time for resort boards to take a sober and critical look at their business fundamentals and determine what options are in the best interest of the majority of owners whom they represent. Timeshare resorts depend on maintenance-fee income […]

Lack of clarity plagues PPP application process

(April 8, 2020) Problems with the application process for PPP (Paycheck Protection Program) loans to small and medium-sized businesses are prompting the Federal Reserve and the Treasury Department to create a new application mechanism.  Details are expected later this week, reports Today in Payments https://www.pymnts.com/news/2020/today-in-payments-fed-plans-new-facility-smb-ppp-loans-sba-computer-crash-tangles-process/. The initial arrangement, with participating lenders taking applications for loans […]

Apply through your lender for PPP loan

(April 6, 2020) If your resort or other vacation-industry business needs a Paycheck Protection Program (PPP) loan, contact your lender first. The U.S. Small Business Administration is the source of PPP funds, but lenders are administering the program.  At present, most participating lenders are taking applications only from their current customers. Your lender will provide […]

Keeping and paying your staff

We reported on March 30th that under the CARES Act, resorts with fewer than 500 employees are eligible for a Small Business Administration (SBA) guaranteed loan. Repayment will be forgiven to the extent that the loan proceeds are used for payroll (wages, salaries, healthcare costs, retirement costs, taxes, and related costs), commissions, interest on mortgage […]

Florida grants timeshare boards broad emergency powers

The Florida Department of Business and Professional Regulation has responded to Florida’s COVID-19 State of Emergency by suspending certain conditions of the emergency powers of Common Interest Realty Associations, including timeshare resorts organized as condominiums or cooperatives. Under DBPR Emergency Order 2020-04, issued March 27, 2020, a timeshare resort’s board of directors may act to […]

Working with RCI affiliated resorts during the global coronavirus crisis

RCI is helping resort managers sort out changing mandates and priorities The different communications issued by many governmental authorities over the last several weeks regarding mandatory shutdowns, quarantines, and stay-at-home orders have raised questions about how vacation ownership resorts should proceed with their in-house guests. Many cities, counties, states, and territories have their own way […]

Adjustments and opportunities

By Paula DiPaola, president, Magic Tree Resort Magic Tree Resort is in Kissimmee, FL, near Walt Disney World. The news that Disney was closing due to the COVID-19 virus was one of the biggest shocks!  March traditionally is the busiest month of our entire year. We now have 10 rooms occupied out of 92.  The […]

Resorts can borrow under CARES ACT

By W. John Funk, Gallagher, Callahan & Gartrell, P.C., Concord, NH The newly-enacted federal law called the CARES Act provides the following borrowing opportunity for most legacy resorts: Resorts that have fewer than 500 employees are eligible for a Small Business Administration (SBA) guaranteed loan under the Act (“covered loan”). The period covered by the loan is […]

Re. COVID-19 Insurance Coverage/Claims Memo

By Chad Dorsey, CIC, CRIS, Vice president, Brown & Brown of Florida, Inc. Legacy resorts across the country are faced with the harsh reality of lost revenues associated with COVID-19 pandemic and wondering if this is an insurable event and if filing a claim with their insurance provider is the prudent course of action. The […]

Stoneridge Resort shutdown

By Cindy Thomas, general manager Stoneridge Resort in Blanchard, ID, shut down on March 25th for 21 days after Idaho Gov. Brad Little signed an Extreme Emergency Proclamation and issued a statewide stay-home order closing all but essential businesses. Gov. Little and public-health officials will evaluate later whether to extend the order past 21 days. […]