CARES Act Resources & Practical Advice for Small Businesses and Nonprofits

DeWitt law firm has assembled information and links for CARES Act Resources & Practical Advice for Small Businesses and Nonprofits. Financial Institutions will begin accepting loan applications on April 3, 2020. Please click this link for more information on CARES Act resources: http://dewittllp.com/news-education/posts/2020/04/01/financial-institutions-will-begin-accepting-loan-applications-on-4.3.2020-cares-act-resources-practical-advice-for-small-businesses-and-nonprofits

Businesses and nonprofits eligible for funds include the following:

• A small business with fewer than 500 employees
• A small business that otherwise meets the SBA’s size standard
• A 501(c)(3) with fewer than 500 employees
• An individual who operates as a sole proprietor
• An individual who operates as an independent contractor
• An individual who is self-employed who regularly carries on any trade or business
• A Tribal business concern that meets the SBA size standard
• A 501(c)(19) Veterans Organization that meets the SBA size standard

CARES Act Loan Options for Small Businesses and Nonprofits

Economic Injury Disaster Loans (EIDL)

• Available Today
• Offers $10,000 within three days
• You are still eligible to apply for a Paycheck Protection Program Loan and may refinance your prior EIDL loan
• Loan Application & More Details

Paycheck Protection Program Loans (PPP)

• Applications accepted beginning April 3, 2020 through your local SBA approved lender.
• Offers lesser of $10,000,000 or 2.5 times the average monthly payroll costs incurred during the one-year period before the date of the loan
• Loan forgiveness for an 8-week period beginning from the origination date of the loan for payroll costs and rent payments, utility payments, or mortgage interest payments
• Loan Application & More Details

*You cannot get both EIDL and PPP loans at the same time, but, if you first get an EIDL loan, you can later refinance it with a PPP loan.