To our clients, colleagues, and friends,
On Friday, March 27, 2020, The CARES (Coronavirus Aid, Relief, and Economic Security) Act became law. The Treasury Department is administering funds under this program through SBA Preferred Lenders and other FDIC-insured banks, including the Payroll Protection Program.
For most small businesses with less than 500 employees, the Payroll Protection Program appears to be the most advantageous. Assuming your business qualifies, and you spend all the funds received from the loan eight weeks after receipt on specified expenses, the loan will be forgiven.
This monetary relief means that your company can continue to make payroll, pay rent, and utility payments, and pay interest on your company’s business mortgages.
As part of our Back to Business Initiative, we have prepared a guide to the Payroll Protection Program. It describes the following aspects of this program:
· Qualifying Criteria:
· Key Loan Details:
· What the Payroll Protection Program includes and what is excluded;
· Guidance from the Department of Treasury;
· Loan Forgiveness Requirements; and
· Recommended practices.