The challenges and changes brought on by COVID-19 mandatory closures and stay-at-home directives are beginning to take hold. At one end of the spectrum is the inconvenience of bare shelves in the grocery store aisles. At the opposite end is the full blown challenge of shifting, and in many instances, closing of business operations and the effect that is having on employees and the long-term economic outlook.
While we don’t have new solutions for empty shelves, we have compiled a list of resources and relief programs that are available to help businesses weather this storm.
Please note that this information changes rapidly as Congress continues to debate economic relief and stimulus packages. So, I’ll qualify this information with “as of 3/23/2020.” Please check back as we will update this post regularly with new information when it becomes available.
Low Interest Business Loans – Small Business Association (SBA)
I’ve been participating in our local Chamber of Commerce calls and other business association updates over the past couple of weeks. It is very heartening to hear so many businesses that are continuing to pay their employees even though their operations have been significantly reduced or temporarily shut-down. We all know that revenue is needed to sustain payroll. As top line sales continue to be challenged due to stay-at-home mandates and concerns around COVID-19, revenue flow will decrease. That is where it may make sense to tap into some of the resources the SBA is providing.
The SBA has made low interest loans of up to $2 million available to businesses impacted by the COVID-19 outbreak. Here are a few of the details:
- Interest rates are 3.75% for small businesses and 2.75% for non-profits
- Loans may be used for payroll, fixed debts or other bills that can’t be paid
- Repayment terms are extended and can go as long as 30 years
- Apply during off-peak times (7:00 pm-7:00am) to avoid high volume traffic
- Click here for apply
Please select Economic Injury as the reason for your loan application. Make sure to track your income as you will need to clearly show the economic impact on your business.
Local Small Business Assistance Programs
Check with your local Chamber of Commerce or municipality as economic relief programs are being added daily. Here is the link to the governor’s page for each state. You may find information on additional relief programs available in your state.
Federal Rescue Programs
As of Monday, 3/23/20, Congress was still debating the $2 trillion rescue package that reportedly offers additional relief for hard hit industries such as travel and hospitality in addition to providing relief to Americans in the form of a direct check. Please check back as we will update the status of federal aid as the situation unfolds.
In the meantime, it is helpful that the IRS has extended the filing and payment deadline for Federal taxes to July 15th. This extension applies to federal taxes so you’ll want to confirm with your individual state tax agency for the deadline for filing state taxes.
As always, Wind River stands at the ready to help in any way we can. If you have questions or need additional information, please feel free to reach out directly.
