COVID-19 Information for Businesses
A range of local, regional, and federal assistance resources are in place to inform and assist businesses affected by the ongoing COVID-19 emergency.
Coming Soon: The CARES Act
On March 27, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted. Over the coming weeks, federal programs to support businesses, payroll, and the unemployed will be unveiled. According to the U.S. Chamber of Commerce, Massachusetts small businesses and employees may see as much as $11 billion in supports. Highlights include:
Coming Soon: Enhanced Unemployment Insurance
Section 2102 of the CARES act provides for workers who are not already eligible for state and federal unemployment programs—but would be able to work in the absence of the coronavirus outbreak—a set amount of unemployment compensation. This is forecast to include certain self-employed, freelance, and "gig economy" workers. Check here for developing information.
Coming Soon: Paycheck Protection Program (PPP)
- Small Business Administration (SBA) loans at favorable rates equal to roughly 10 weeks of payroll expenses (wages, retirement contributions, health care benefits, other payroll expenses)
- Maximum loan of $10 million, for period beginning February 15, 2020 and extending to June 30, 2020
- Streamlined application process, application fees may be waived, favorable terms, repayment period may be deferred up to 12 months
- Up to 8 weeks of business expense may be forgiven if business retains employees and salary levels
More information on the Paycheck Protection Program from the Economic Innovation Group here
Economic Injury Disaster Loans (EIDL)
More information here
U.S. Chamber of Commerce Small Business Guide and Checklist here
- SBA loans of up to $2 million at 3.75% interest, or 2.75% for non-profit entities
- Principal and interest deferral for up to 4 years. 48-month repayment terms may be extended up to 30 years based upon ability to pay
- Funds may be used for fixed debts, payroll, accounts payable, and other businesses expenses that cannot be met as a consequence of a disaster’s impact
- Businesses may apply for both PPP and EIDL
Economic Injury Disaster Loan Advance
- Advance grants up to $10,000 available upon submission of EIDL application.Grants available within 3 days
- Grants do not have to be repaid even if applicant is subsequently denied an EIDL. Any advances received by an applicant will be reduced by the loan forgiveness amount for a loan of payroll costs (PPP or EIDL)
- Advance grants may be used only for:
- providing sick leave to employees unable to work due to the direct effect of COVID-19
- maintaining payroll to retain employees during business disruptions or substantial slowdowns
- meeting increased costs to obtain materials unavailable from the applicant’s original source due to the interrupted supply
- making rent or mortgage payments
- repaying obligation that cannot be met due to revenue losses
CARES Act Tax Relief
The CARES Act establishes an array of tax code modifications to aid business address the impacts of COVID-19. Please consult with your accountant or advisor.
The Town of Clinton will make assistance of up to $5,000 available to qualifying local businesses. Click here for more information and application.