Financial Assistance for Small Business

Financial Assistance (Federal and State Level) 

L&I Alert: Phishing Scam targets Secure Access Washington Users
ABC members who report Prevailing Wage Information through Secure Access Washington (SAW) take note: The Department of Revenue recently learned that scammers are sending fake SAW emails in an attempt to trick people into providing their account credentials. VIEW FULL NOTICE. While phishing attacks have been occurring for many years, they seem particularly widespread and aggressive now due to our current economic situation combined with all of the individual financial assistance and business relief programs available from local, state, and federal governments.

Small Business Administration (SBA) Disaster Loans are now available. Visit their site to learn how you may qualify. 


Save Small Business Fund: 


Federal Coronavirus Aid, Relief, and Economic Security Act (CARES) 

  • This act is designed to address the economic and health impacts of the COVID-19 pandemic, including providing relief for small and medium-sized business that are facing unprecedented challenges at this time. Information on HR and business requirements stemming from this act have been made available to you courtesy of Insperity HR.
  • Presentation on the CARES Act (courtesy of BBSI)

Coronavirus Emergency Relief Legislation:
The U.S. Senate unanimously passed a $2 trillion bill that will provide relief to states and enhance federal assistance programs to address the ongoing health crisis. The U.S. House is expected to take up the measure on Friday. The legislation would send $1,200 checks to many Americans under a certain income threshold, create a $350 billion loan program for small businesses, and establish a $500 billion lending fund for industries, cities and states. Other provisions include payroll tax delays and other tax fixes for businesses and, importantly, $140 billion for hospitals. Here is a copy of the final bill and a section-by-section analysis. Additional information and links on the bill are included below.


The Paycheck Protection Program (PPP)

PPP Reconcilation Template

Eligible businesses:
All businesses, including non-profits, Veterans organizations, Tribal concerns, sole proprietorships, self-employed individuals, and independent contractors, with 500 or fewer employees, or no greater than the number of employees set by the SBA as the size standard for certain industries.

Maximum loan amount:
Up to $10 million is available.

Loan Forgiveness:
Available if proceeds are used for payroll costs and other designated business operating expenses in the 8 weeks following the date of loan origination (due to likely high subscription, it is anticipated that not more than 25% of the forgiven amount may be for non-payroll costs).

All loans under this program will have the following identical features:

  • Interest rate of 0.5%
  • Maturity of 2 years
  • First payment deferred for six months
  • 100% guarantee by SBA
  • No collateral
  • No personal guarantees
  • No borrower or lender fees payable to SBA

Visit treasury.gov/cares for more information on SBA’s assistance to small businesses.

UPDATE ON (PPP)
ABC became aware of an issue within the SBA's Interim Final Rule (IFR) for the Paycheck Protection Program. This issue was also raised in a letter from AGC; however, it is ABC's view at this time that while AGC's interpretation raises an alarm for welcome clarification in the guidance, the language included in the IFR does NOT impact the eligibility of ABC members with fewer than 500 employees applying for PPP loans. The IFR language is admittedly, poorly written and ABC believes that clarification would be helpful for businesses that are applying for these loans.

While we encourage members to read the entire document, you'll find assistance in the attached document as follows:

  • Program Overview (page 4)
  • What Borrowers Need to Know and Do
  • Am I eligible? (page 5)
  • How PPP loans can be used (page 21)
  • What Lenders Need to Know and Do (page 19)
  • What Borrowers and Lenders Need to Know and Do
  • Loan terms (bottom of page 24)

The SBA and Treasury confirmed ABC’s interpretation of the IFR and addressed this issue in a release of FAQs for lenders and borrowers. The FAQs further state that borrowers and lenders may rely on the guidance provided in this document as SBA’s interpretation of the CARES Act and of the Paycheck Protection Program Interim Final Rule. The U.S. government will not challenge lender PPP actions that conform to this guidance,1 and to the PPP Interim Final Rule and any subsequent rulemaking in effect at the time.

Importantly in this document, it clarifies that businesses do not have to qualify as both a small business concern AND have 500 or fewer employees. Please see the FAQ that specifically addresses this issue below. ABC continues to urge eligible members in need to apply for PPP loans.

As mentioned in yesterday Federal Update, the next legislative package is likely to replenish funding for PPP loans. Beyond administrative hiccups in the programs rollout, the biggest concern has been that the PPP program might prove too popular and small business owners are concerned that if they aren’t among the first in line, they might be left behind.

The Trump administration and the program’s congressional champions have moved quickly to tamp down concerns:

  • President Trump tweeted that he will “immediately ask Congress for more money” should the program’s $349 billion allocation run out.”
  • Treasury Secretary Steven Mnuchin says he will go to Congress to ask for more small business loan funding if the current $350 billion pool goes quickly.
  • Senate Small Business Committee Chairman and PPP chief author Marco Rubio (R-FL) estimated in a lengthy thread that the initial tranche of funds could run out as soon as June 6th.
  • Rubio also pledged to work his congressional colleagues to secure additional funding for PPP in a general update on the state of the program.

 

 


Independence Partner


Patriot Partners


 



 



 


Liberty Partners 









Platinum Partners


Gold Partners

Crystal Soda Blast
First Metals
KHS&S Contractors 
Propel Insurance
Milwaukee Tool


Silver Partners

American Craftsmen, LLC

Air Systems Engineering
The Bancorp