The Relief Package Was Approved
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed by President Trump on Friday, March 27, 2020. There are multiple components to the relief funds that may benefit your business. A core element is the Paycheck Protection Program. In short, these are SBA loans that may be forgivable to eligible businesses that use the loans for the program’s specific guidelines. For guidance on any COVID benefit programs, please call us.
Our COVID Response Group
If you need our help, please call. We want to make sure you are maximizing all benefits, making the right choices and accounting for any funds or benefits you receive. Additional guidance and clarification on the Act is coming out daily. Our group can help you with:
- Understanding the SBA Loan Provisions, Guidelines and Applicability to Your Entity
- Comprehensive Tax Relief Evaluation Covering All Components of the CARES Act
- Cash Flow Projections and Tracking
- Financing and Debt Analysis
- Risk Management
A Few Items to Share
- There are multiple programs. If you select one, you may not be eligible for another.
- The Paycheck loans will need to be processed through your financial institution. As of today, most financial institutions are working as fast as they can to get set-up to process loan requests.
- The loan can pay for up to 8 weeks of qualified payroll. The qualification is for wages up to $100,000 for an employee prorated for the covered period.
- The loan can also be used for utilities, mortgage interest, rent payments, healthcare benefits, interest on existing debt, and other approved efforts to retain employees.
- The loan is forgivable if certain criteria are met. Amounts not forgiven are payable over a term not to exceed 10 years at an interest rate not to exceed 4%.
Utah Leads Together Small Business Bridge Loan
In addition to the CARES act described above, the Utah Governor’s Office of Economic Development also announced the Utah Leads Together Small Business Bridge Loan program on March 30, 2020. This program is aimed at helping local businesses with 50 or fewer employees and offers loan amounts from $5,000 to $20,000 with 0% interest for up to 60 months.
Let Us Help
Please contact us with questions or to discuss your specific situation. We will help you through these difficult financial decisions.