Several new government programs have been launched to help with cash flows for your business. Here is a summary of the ones with the biggest impact. We will be updating this as we receive feedback from our global community of members.
Small Business Administration (SBA)
Economic Injury Disaster Loans and Loan Advance:
Small business owners in all U.S. states, Washington D.C., and territories are eligible to apply for an advance of up to $10,000. Funds will be made available within three days of a successful application, and this loan advance will not have to be repaid. This Advance may be available even if your EIDL application was declined or is still pending, and will be forgiven.
Paycheck Protection Program (PPP):
The loan will be fully forgiven if the funds are used for payroll costs, interest on mortgages, rent, and utilities (due to likely high subscription, at least 75% of the forgiven amount must have been used for payroll). Loan payments will also be deferred for six months. No collateral or personal guarantees are required. Neither the government nor lenders will charge small businesses any fees.
Has been expanded to include freelance workers and sole proprietors, in some cases. These programs are administered at the State level so you need to check with them directly.
State and Local Programs
Some of these government entities have specific programs to help you. A Google search will be the most effective to find the most relevant and updated programs.
Check with your CPA or Tax Advisor about any reduction or deferment with your annual or quarterly Federal, State or local taxes, including estimated payments and business entity taxes (LLC, S Corp, C Corp, etc).