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As businesses across the country continue to determine whether to apply for an SBA loan under the “Paycheck Protection Program” (the “PPP”) provided by the Coronavirus Aid, Relief, and Economic Security Act (the “Act”), the US Small Business Administration (the “SBA”) has released additional guidance to interpret the previously issued interim regulations.
With guidance from the Small Business Administration (“SBA”) and the Internal Revenue Service (“IRS”) still forthcoming, and the existing guidance changing, many business are struggling to understand their options under the Coronavirus Aid, Relief and Economic Security Act (“Act”). We previously published guidance on the Payroll Protection Program (“PPP”) and Disaster Relief Loans which can be found here.
With uncertainty looming in all corners of the world due to the continued COVID-19 pandemic, many employers are questioning how they can support the fixed costs of their business, especially in the face of total or partial shutdowns mandated by State governments. Those same shutdowns make other costs, like employee wages, liabilities that often cannot be supported by limited operations.
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