Business Resources Update as of Friday, June 19, 2020
NH SBDC Ask an Advisor Anything: Live Q&A on Recovery & Reopening
We are here to answer your questions. What's been bugging you? What's keeping you up at night? What did an employee just ask that you can't answer? Submit your question prior to the webinar or ask it live in the Chat. If we don't know the answer, we will find it or refer you to someone who does.
These webinars will be occurring on Friday mornings. Visit their website for more information and to register: https://www.nhsbdc.org/
Paycheck Protection Program
Just a couple of weeks ago the Senate passed by unanimous consent, Paycheck Protection Flexibility Act of 2020. The bill amends the small business provisions in the Coronavirus Aid, Relief and Economic Security (CARES) to the following:
· Extends the forgivable period from 8 weeks to 24 weeks or the end of the calendar year.
· Adds flexibility to the forgiveness ratio for non-wage expenses from 75% payroll and 25% non-payroll eligible expenses to 60% payroll and 40% non-payroll.
· Establishes a minimum loan maturity of 5 years for the remaining balance after the balance is adjusted for forgiveness.
· Extends the required period during which an employer may restore wages to December 31.
· Allows borrowers to defer payments until they receive compensation for forgiven amounts. Those who don’t apply for forgiveness can have 10 months from the program’s expiration to begin making payments.
· Allows for PPP borrowers to also defer payroll tax payments including payment of principal, interest, and fees, until the date on which the amount of forgiveness determined under section 1106 of the CARES Act is remitted to the lender.
This bill does not allow for current PPP borrowers to receive additional PPP funding.
Economic Injury Disaster Loan ( EIDL)
To further meet the needs of U.S. small businesses and non-profits, the U.S. Small Business Administration reopened the Economic Injury Disaster Loan (EIDL) and EIDL Advance program portal to all eligible new applicants experiencing economic impacts due to COVID-19.
SBA’s EIDL program offers long-term, low interest assistance for a small business or non-profit. These loans can provide vital economic support to help alleviate temporary loss of revenue. It can be used to cover payroll and inventory, pay debt or fund other expenses. Additionally, the EIDL Advance will provide up to $10,000 ($1,000 per employee) of emergency economic relief to businesses that are currently experiencing temporary difficulties, and these emergency grants do not have to be repaid.
For additional information, please visit the SBA disaster assistance website at SBA.gov/Disaster.
New Hampshire Main Street Relief Fund - Update
This was the allocation and expenditure of $400 million from the CARES Act Coronavirus Relief Fund (“flex funds”) to provide emergency financial relief to support New Hampshire small, for-profit businesses due to the economic disruption caused by COVID-19.
For a small for-profit business to qualify, they must:
Have submitted a Prequalification Application (by May 29th)
Be a for-profit business
Have its principal place of business in New Hampshire
Have been in operation for at least one year prior to May 29, 2020
Anticipate a loss of revenue for 2020 due to COVID-19
Have total 2019 gross revenues of less than $20,000,000
Not currently be in bankruptcy
Not have permanently ceased operations
Important Dates & Timeline
Announcement of Program Specifics - June 5, 2020
Formal Application Period - June 5, 2020 – June 12, 2020
Deadline to File Completed Application - June 12, 2020
Updates are pending on this at this moment in time.
NH Nonprofit Emergency Relief Fund Application
The application is now open for the NH Nonprofit Emergency Relief Fund of the Governor’s Office for Emergency Relief and Recovery. The application will remain open through the deadline of June 25 at 4:00 PM EST. Access to application materials and the online application portal is available through the GOFERR website. The NH Nonprofit Emergency Relief Fund grant program is being administered through a partnership of the New Hampshire Center for Nonprofits, the New Hampshire Charitable Foundation and the New Hampshire Community Development Finance Authority. The New Hampshire Center for Nonprofits will host an informational webinar and series of question-and-answer sessions throughout the application window: Please see the GOFFER website for more details.