Articles & E-Books

 

Update on proposed stimulus package to expand SBA loans for COVID-19

Mar 20, 2020

Information related to disaster loan assistance funding from the SBA continues to update and change daily.

In the recent proposed economic stimulus package the small-business section of the proposed economic stimulus bill for COVID-19 response offers loans to small businesses with under 500 employees. The $300 billion for the loans would be made available through lenders certified by the Small Business Administration, such as banks and credit unions, with the maximum loan capped at $10 million.

The portion of the loan used by the small businesses to cover their payrolls could be forgiven if firms retain their employees through the end of June 30, 2020.

Loans given to businesses with tipped employees, such as bars and restaurants, could be forgiven if they are used to provide additional wages to their employees.

With that said be reminded this is a proposed package, information is changing daily and SBA has never faced a disaster of this magnitude and it will take them some time to get the delivery resources of the program in place.

More and more states are becoming eligible for SBA Disaster Assistance as a response to COVID-19. Submit your loan applications here.

Author(s)

Madeline J. Miller, CPA
Manager
View Profile
Terry Hoover, CPA, ABV
Partner
View Profile

Need help now?

Navigate the impact of COVID-19.

 

Fill out the form below and a member of our team will get in touch with you.

COVID-19 resource center | Wipfli