Rent Payments Coming Up For Small Businesses Forced To Close

LOS ANGELES (CBSLA) -- Local small businesses are having to adjust to a new normal as the coronavirus outbreak caused them to temporarily close doors.

Brilliant Smile, a dental office in Thousand Oaks, is out of business for the first time in 20 years after being forced to shut down two weeks ago.

"We can only see patients under extreme emergency per se, infections, but even then I can't see patients because I don't have N95 masks," said owner Dr. Shirin Etemadi.

Etemadi said she was already worried about paying her $6,500 dollar rent for her dental office on April 1, but things got a lot more stressful last week when she received a bill from her landlord for $17,000 due in just six days.

"I am shocked," Etemadi said. "I just don't know what to do."

In an email from her landlord, Regency Centers, Etemadi was told the additional charges stemmed from an unpaid rent increase and maintenance charges from 2018 and 2019, which Etemadi said she wasn't made aware of --  a claim that Regency denies.

"They never billed me, they never said anything," she said.

Etemadi said her only option is to apply for a small business loan.

"If I have to pay $17,000 this month I may as well put down," Etemadi said. "I won't be able to survive."

Regency said it will work with Etemadi so she doesn't have to go out of business.

Most small businesses that have had to shut down due to the pandemic will be faced with their first rent payment on April 1.

California is offering several programs to try to keep small businesses afloat, starting with "paycheck protection," which offers a 100%  federally guaranteed loan to businesses that maintain their payroll during the pandemic.  The loan may be forgiven if borrowers maintain or restore payroll.

Economic injury disaster loans are now available, with up to $10,000 in grants within three days of applying.

If you already have a Small Business Administration loan, SBA may cover all loan payments for six months.