Together, we are experiencing unprecedented times and we are all facing uncharted territory.
A number of measures have been taken by the State and Federal Government, or are in the process of being implemented, that will help small businesses through this pandemic crisis. The US Congress and our State Government are committed to working on legislation to benefit small businesses.
The US Small Business Administration is making special low-interest loans available to small businesses, and some of the loans may even be forgiven in certain circumstances.
For individuals, Federal legislation has been proposed to provide two rounds of payment options starting April 6 and May 18. Citizens will receive up to $1,200.00, with couples eligible to receive as much as $2,400.00 and $500.00 for each of their children. Those who make more than $99,000.00 a year (based on 2018 tax returns), and households that earn more than $198,000.00, will not be eligible for this direct assistance. The Federal and State tax deadlines have been extended by 90 days to July 15, 2020 and estimated tax payments for 2020 that were originally due on April 15 will also not be due until July 15.
In addition, the Federal legislative bill has proposed that unemployment benefits be increased for employees that have been laid off due to the crisis – and the time it takes to obtain the benefits to be reduced. We have been advised that it speeds up the process if the employer files for the benefits for the employee. It is our understanding that an employee may receive up to 39 weeks of unemployment benefits.
There are several resources and relief programs that small businesses can turn to including: emergency funding from the government, business loan deferment, and protection from eviction. Banks are encouraged by the FDIC to work with their customers to provide assistance related to the COVID-19 difficulties for both personal and business finances.
Apply online and select “Economic Injury” as the reason you’re seeking assistance.
Supply required supporting documentation such as recent business tax returns, a financial statement, and a schedule of liabilities that lists all current debts. Or call the SBA Disaster Assistance Customer Service Center at 1-800-659-2955 for help with your application.
The Floyd Law Firm PC is here to help business owners and entrepreneurs make the most of it – from investments to rights and regulations – make informed decisions with advice from seasoned advocate. Providing experienced legal counsel and practical solutions to a wide variety of business and corporate problems, we work to protect your rights in and out of the courtroom.
All of us at The Floyd Law Firm encourages everyone to work together through this pandemic. Please focus on staying safe and well in the meantime.