The paycheck protection program is a loan that was designed as a result of the Coronavirus pandemic to directly assist small business to keep their workers on payroll. But, as more time passes with the economy at a standstill more and more businesses are looking for relief. With the growing need, according to sba.gov, they are currently unable to accept new applications based on the current available appropriations funding.
The good news is that in addition to the SBA funding programs, the CARES Act established many temporary new programs to help with Coronavirus pandemic. Here is a breakdown of the current programs according to The Certified Commercial Investment Website.
IRS and Treasury Department
Deadline Extended for 1031 Exchanges: The IRS has issued guidance that indicates that the 45-day and 180-day deadlines for 1031 like-kind exchanges that would have expired from April 1 to July 14 will now expire on July 15. Watch for further details soon.
Deadline Extended for Opportunity Fund Investments: Specifically, if an investor who sold a capital asset planned to roll over the gain into an Opportunity Fund and the 180-day deadline falls between April 1 and July 15, 2020, they can make the investment on July 15 regardless of the 180-day deadline. Watch for further details soon.
Deadline to File and Pay Taxes Extended: A three-month extension has been made for tax filing and payments. Individuals will be able to defer up to $1 million without interest or penalties, and corporations can defer up to $10 million.
FEMA
FEMA Flood Insurance Renewal Extension: FEMA is extending the grace period to renew flood insurance policies from 30 to 120 days. If a policy has an expiration date between February 13, 2020 and June 15, 2020, then the NFIP insurer must receive the appropriate renewal premium within 120 days of the expiration date to avoid a lapse in coverage. Likewise, if a policyholder receives an underpayment notice dated between February 13, 2020, and June 15, 2020, then the NFIP insurer must receive the additional premium amount requested within 120 days of the date of the notice.
Federal Reserve
Federal Reserve Main Street Lending Program: The Federal Reserve Board is establishing a Main Street Lending Program to enhance support for small and mid-sized businesses that were in good financial standing before the crisis by offering 4-year loans to companies employing up to 10,000 workers or with revenues of less than $2.5 billion. Principal and interest payments will be deferred for one year. Eligible banks may originate new Main Street loans or use them to increase the size of existing loans to businesses.
Commercial Paper Funding Facility: The Federal Reserve Board will establish a Commercial Paper Funding Facility (CPFF) to support the flow of credit to households and businesses.
Facility to Facilitate Loans for Paycheck Protection Program: The Federal Reserve Board will establish a facility to facilitate lending to small businesses via the SBA's Paycheck Protection Program (PPP) by providing term financing backed by PPP loans.
The thing to keep in mind is that you need to do your research. The economy, funding and government regulations are practically changing daily. Depending on the size of your business and your needs there are a variety of different programs to assist during this time. Check the links below for further details and see which can best help you.
Sources:
ccim.com [Article] https://www.ccim.com/covid19/
sba.gov [Article] https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/economic-injury-disaster-loan-emergency-advance