Employment Taxes and Increasing Cash Flow
The CARES Act provides two tools for boosting an employer’s cash flow by reducing its employment taxes through a tax credit, and by delaying payment of certain payroll taxes.
CARES Act
Further Guidance: The Paycheck Protection Program for Small Businesses
We previously issued an advisory providing guidance on a number of federal, state and private funding relief alternatives to provide capital to small businesses during the COVID-19 disaster recovery process, including as to the Paycheck Protection Program (PPP) under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act).
SBA Economic Injury Disaster Loan Assistance is Available for Industrial Hemp Businesses
The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was recently passed in response to the COVID-19 pandemic to provide much-needed economic relief to individuals and businesses. The Small Business Administration (SBA) is now offering the Paycheck Protection Program (PPP) and federal disaster loans for working capital via the Economic Injury Disaster Loan (EIDL) program to small businesses and non-profits to help small businesses in the U.S. stay afloat during this historic emergency. Although these programs are not available to state licensed cannabis related businesses, it is available for hemp producers and manufacturers. Here are 5 take-aways about the SBA’s EIDL and PPP programs:
Federal COVID-19 Disaster Aid May Not Be Available for VC- and PE-Backed Companies
Who may be disqualified from aid? Many venture capital-backed and most private equity-backed companies will be ineligible to qualify for the Paycheck Protection Program and enhanced Economic Injury Disaster Loans under the recently adopted CARES Act unless regulations for determining whether a company qualifies as a “small business” are waived or modified.
CARES ACT: Lending Provisions and the Small Business Administration
The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) contains a number of provisions that affect federal government loan assistance programs, the U.S. Small Business Administration (SBA) that administers them, and the private sector lenders that participate in them. Here is a summary of some of the more important changes that the CARES Act makes to current law:
Capital Relief Alternatives for Small Businesses
There are several federal, state, and private funding relief alternatives that may be available to provide capital to your small business during the COVID-19 disaster recovery process. Below, you will find answers to frequently asked questions concerning such alternatives.
CARES Act: Employee Benefits
