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March 16, 2020 | Posted in:

Business Assistance During the COVID-19 Pandemic

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Alloy Silverstein continues to monitor the COVID-19 pandemic and we’d like to share resources that may be helpful to your business during these trying times.

 

Office Update Regarding Coronavirus

 

Further state and federal legislative measures to aid businesses impacted by COVID-19 are still pending. We will keep you updated.

SBA Loans

SBA to Provide Disaster Assistance Loans for Small Businesses Impacted by Coronavirus (COVID-19)

SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance for a small business. These loans can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.

*Update* The SBA has named New Jersey a declared disaster state in the wake of the Coronavirus pandemic. This declaration will allow New Jersey small business owners impacted by COVID-19 to apply for SBA Economic Injury Disaster Loans (EIDLs) that provide financial assistance to help support their businesses.

Process for Accessing SBA’s Coronavirus (COVID-19) Disaster Relief Lending

  • The U.S. Small Business Administration is offering designated states and territories low-interest federal disaster loans for working capital to small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19). Upon a request received from a state’s or territory’s Governor, SBA will issue under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, an Economic Injury Disaster Loan declaration.
  • Any such Economic Injury Disaster Loan assistance declaration issued by the SBA makes loans available to small businesses and private, non-profit organizations in designated areas of a state or territory to help alleviate economic injury caused by the Coronavirus (COVID-19).
  • SBA’s Office of Disaster Assistance will coordinate with the state’s or territory’s Governor to submit the request for Economic Injury Disaster Loan assistance.
  • Once a declaration is made for designated areas within a state, the information on the application process for Economic Injury Disaster Loan assistance will be made available to all affected communities.
  • These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible. The interest rate for non-profits is 2.75%.
  • SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.

For additional information, please contact the SBA disaster assistance customer service center at 1-800-659-2955.  (Source: SBA.gov)

 

SBA Press Release →

 

Learn More and Apply →

 

 

Tax Deadline

As of March 17, 2020, the Treasury announced that federal tax payments for individuals and businesses due April 15, 2020 will be extended 90 days to July 15. See more→

Update: On March 20, 2020, the IRS confirmed that the payment *and* filing deadline will be deferred to July 15, 2020. This applies to all taxpayers, including individuals, trusts and estates, corporations and other non-corporate tax filers as well as those who pay self-employment tax. There was previously a cap for the payment extension, but that no longer applies. See more→

 

NJ Resources

For business concerns during this emergency, the NJ Business Action Center has established a website devoted to this situation:

In addition, the Business Action Center’s 1-800-JERSEY-7 helpline is now open 8:00am to 9:00pm, seven days a week.

 

Additional State and National Resources:

 

Alloy Silverstein continues to operate and we’re here to answer your questions and business concerns during this unpredictable time. Our team is prepared to work and communicate remotely to continue to serve our clients.

 

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