Today [March 27], President Trump signed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the $2 trillion stimulus package that is the third phase of the federal government's response to the COVID-19 pandemic. Importantly for PCCA members, the bill authorizes emergency loans to distressed businesses.
With respect to small businesses, the CARES Act
* Establishes, and provides funding for, forgivable bridge loans; and
* Provides additional funding for grants and technical assistance.
The Act also provides funding for $1,200 tax rebates to individuals, with additional $500 payments per qualifying child. The rebate begins phasing out when incomes exceed $75,000 (or $150,000 for joint filers).
The CARES Act, through the Paycheck Protection Program, allocates almost $350 billion to support emergency loans to qualifying businesses.
Below is guidance on the Paycheck Protection Program from the Senate Committee on Small Business & Entrepreneurship. You can learn more on the Small Business Administration website: https://www.sba.gov/funding-programs/loans/paycheck-protection-program.