On April 20th, Governor Baker signed into law an eviction moratorium bill (H 4647) that benefits certain commercial tenants. While the new law grants extensive relief to homeowners from mortgage debt and foreclosures, and to residential tenants from evictions, it provides no relief from mortgage debt to commercial property owners, and limited relief to certain commercial tenants. This article addresses the limited relief provided by the legislation to commercial tenants.
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).
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.
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:
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.