COVID-19 took the world by surprise and has caused dramatic problems for our economy. Brown & Company, PLLC is always here to help your business thrive, and we now offer COVID-19 Emergency Loans to help you get through these tough times.
Learn more about how these loans work, if you qualify and how you can get loan forgiveness:
Many different people are eligible for the loan. If your business or charity has 500 or fewer employees, if you're a sole proprietor, a tribal business or a veteran's organization, you can qualify. For hotels and restaurants, the 500-employee rule applies per location. Also, if you're a franchise or receive financial assistance from an approved small business investment company, the normal affiliation rules don't apply.
Lenders need to know that the current economic uncertainty makes the loan necessary. They also need to know the loan will be used to retain employees or make mortgage, lease or utility payments. The lender needs to know there's no duplicate loan request or approved loan held by your organization between February 15th, 2020 and December 31st, 2020.
Loans can be as much as 2.5x as much as your average monthly payroll, up to $10 million. The definition of "payroll" includes salaries, tips, paid time off, health benefits, retirement plans, state taxes and local taxes. "Payroll" does not include monies exceeding $100,000, payroll taxes, retirement taxes, compensation to employees outside the United States or qualified sick leave wages as per the Families First Coronavirus Response Act.
You can qualify to have part or all of the loan forgiven. Costs of payroll, tips, mortgage interest, rent or lease costs and utilities paid out during the first 8 weeks after the loan originated can be forgiven. If there's a reduction in employee numbers, there's a reduction in the loan forgiveness level.
See the chart below for more details on how COVID-19 emergency loans can help you get your business back on track: