An additional $484 billion in COVID-19 small business assistance is now available, including $310 billion in new money for the Small Business Administration’s (SBA) Paycheck Protection Program.
Get your Paycheck Protection Program (PPP) loan application in now
If your business has not already done so, you need to get your Paycheck Protection Program (PPP) loan application in the hands of your banker NOW! The newly-available funds are expected to be claimed within a matter of days.
The program, created by the CARES Act, is an SBA low interest loan designed to help small businesses hurt by the coronavirus pandemic. Businesses can apply for a loan equal to 2.5 times their average monthly payroll costs. If 75% of the loan is used to pay salary and wage expenses, a portion of the loan may be eligible to be forgiven. Even better, your first loan payment is deferred for six months and initial interest rates were one percent .
Original funds in the program went quickly. Thankfully, we are being told a portion of the new funds are being reserved for regional and smaller banks so the help can get to main street businesses like yours.
Take action: Contact your bank immediately. They will direct you to the information required to apply for this program. Stay on them! Once the bank approves your application, it will be submitted by them to the SBA. The SBA will then confirm and approve the submission. Then all you can do is wait.
More money for EIDL grants
The new law also provides an additional $10 billion for funding emergency loan grants. The Small Business Administration is providing a quick, $10,000 grant with no repayment required, through their Economic Injury Disaster Loan (EIDL) program. The original program was shut down after all the available funds were given out.
Take action: For the $10,000 grant you must visit the SBA. Here is a link to the application site:
Check the site immediately and every day to know when they will start taking new applications. Be prepared with your company information and bank account information. Once approved, and if you are lucky enough to receive a grant, your bank account will receive the funds directly.
These new funds will not last long, so you will need to move quickly if you wish to help your business during the pandemic.
Last updated: 04/25/2020
The Covid-19 Tax Resource Portal (herein after referred to as "Site") is made available as a service to our clients and others for informational purposes only. These materials and information should not be considered as, or a substitute for, accounting, tax or financial advice. While it is hoped the materials provided here are helpful as background material, it is not warranted either expressly or implied as accurate or complete. You should refrain in taking any action based upon the information provided here until you have received proper counsel.
In addition, you understand that any links to any other web site or services does not constitute endorsement of or warranty of any service, product or information provided on their site(s). These links are provided for convenience only.
While our intent is to make transmissions to and from this web site secure, it is understood that no warranty of security can be made and that unforeseen security breaches by "hackers" is a possibility, however slight.
Reproduction of part or all of the contents on this site in any form is prohibited other than for individual use only. All content on this site is copyright protected and/or trademarked as appropriate and may not be copied, duplicated or altered in any way.
In no event shall Mallari's Tax & Accounting, its affiliates or suppliers of any content on this site be liable for any indirect, incidental, special, punitive damages or consequential damages of any kind, or any damages whatsoever arising out of or related to your use of the Site, the content and other information obtained therein.
© 2020 - 2021. All Rights Reserved.