CARES Act
Congress has passed the CARES Act that provides billions of dollars for Iowa hospitals, businesses, workers, and farmers – and authorizes direct payments to Iowans.
The programs and initiatives in the Coronavirus Aid, Relief, and Economic Security (CARES) Act that was just passed by Congress are intended to assist business owners with whatever needs they have right now. When implemented, there will be many new resources available for small businesses, as well as certain non-profits and other employers. The guide below provides information about the major programs and initiatives that will soon be available from the Small Business Administration (SBA) to address these needs, as well as some additional tax provisions that are outside the scope of SBA.
To keep up to date on when these programs become available, please stay in contact with your local Small Business Administration (SBA) District Office, which you can locate here.
Struggling to get started? The following questions might help point you in the right direction. Do you need:
Capital to cover the cost of retaining employees? Then the Paycheck Protection Program might be right for you.
A quick infusion of a smaller amount of cash to cover you right now? You might want to look into an Emergency Economic Injury Grant.
To ease your fears about keeping up with payments on your current or potential SBA loan? The Small Business Debt Relief Program could help.
Just some quality, free counseling to help you navigate this uncertain economic time? The resource partners might be your best bet.
Paycheck Protection Plan (7A)
With the CARES Act being passed, there are a few programs that chiropractors could take advantage of such as the Paycheck Protection Program (PPP). These programs are loans which do have loan forgiveness provisions within them. The program has just been released but you will need to do the following to apply:
- Qualify - Use the relief guide and the PPP calculator to calculate your potential loan amount. For the PPP it is around 250% of your average monthly payroll. View our recorded webinar to learn which entities are eligible and how to calculate your total amount.
- Get Organized – Organize and make sure you have digital copies of your corporate resolutions, financials and payroll records. You will need these to submit your application.
- Relationship with your Lender
– Remember these are loans you will procure from a qualified lender, most likely your bank or credit union. Reach out now to make sure your lender can do these types of loans and make sure you understand the process.
Economic Injury Disaster Loan Program (7B)
Small business owners in all U.S. states and territories are currently eligible to apply for a low-interest loan due to Coronavirus (COVID-19). Click here to apply.
Find more information on the SBA’s Economic Injury Disaster Loans at: SBA.gov/Disaster.
The SBA will work directly with state Governors to provide targeted, low-interest loans to small businesses and non-profits that have been severely impacted by the Coronavirus (COVID-19). The SBA’s Economic Injury Disaster Loan program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
