Posted on March 31 2020
Coronavirus Update 3/31/20
EMERGENCY UPDATE — Tuesday, March 31 —
To our clients:
As some of you are already aware, as part of the CARES Act signed into law on Friday, March 27, 2020, the Small Business Administration (SBA) is offering two programs to provide financial assistance to small businesses.
The first program is a disaster assistance loan, known as an Economic Injury Disaster Loan (EIDL). This loan includes a $10,000 advance payment expected to be made within three days of submitting your application and the SBA confirming that you are an eligible small business. You can apply for this loan directly with the SBA; we have added the SBA link to our website for easy access. [read post and follow link]
The second program is a 7(a) SBA loan referred to as a Payroll Protection Program (PPP). This program provides for a loan which, upon meeting certain very reasonable criteria regarding employee retention, wage payments and use of the proceeds, can be forgiven in whole or in part. The US Chamber of Commerce has prepared an informative summary of the PPP, which we have added to our website for your review [read post and download guide]. Unlike the EIDL loan, you cannot apply for this loan directly with the SBA. To apply for the PPP program, you will have to visit an approved SBA lender. Most local banks are SBA approved lenders. Your bank will be able to provide more details about this program.
We encourage all of our business clients to visit the EMERGENCY UPDATES link on our website’s homepage or by clicking https://www.millersearles.com/think/ to learn more about these SBA programs and how they can benefit you. The funds for these programs are not unlimited; therefore, it is important that you apply as soon as possible. You can apply for both programs. At this time, we are not aware of the criteria that the SBA will use to approve applicants in either program, so we cannot guarantee that you will be approved for either program. The only way to know for sure is to apply. You have nothing to lose except your time.
MillerSearles LLC | Certified Public Accountants | Advisors