Coronavirus Aid, Relief, and Economic Security (CARES) Act
|After a long week on Capitol Hill, the Senate’s “Phase III” relief package, the Coronavirus Aid, Relief, and Economic Security (CARES) Act, was passed in the House and signed into law by President Trump tonight.
We’ve been busy reviewing the final text to understand the implications for your business. We want your options to be as clear as possible, so you can make the right decisions to protect your business and take care of your team. Here’s what you need to know:
Paycheck Protection Program
The final law’s loan program is largely unchanged since we first communicated to you about it on Monday. It creates a new business “Paycheck Protection Program,” via a $349 billion lending facility modeled on the Small Business Administration’s (SBA) existing 7(a) program.
Under this new program, eligible small businesses can get a loan to cover costs incurred between February 15, 2020, and June 30, 2020. This window of time is referred to in other areas of the law, and below, as the “covered” period.
Who can apply for and get one of these loans?