IMPORTANT: COVID-19 Information for Small Business Owners
NOTE: New applications for Paycheck Protection Program (PPP) loans have closed as of August 8, 2020.
PPP loans are designed to help small business owners pay expenses – like rent, mortgages, and utilities – and keep their employees on the payroll.
Through the PPP, 11,873 small businesses in the Hudson Valley were able to access PPP loans and save 97,290 jobs during the COVID-19 pandemic.
Small businesses owners who were issued PPP loans after June 5, 2020 received a 5-year loan term. Applicants who received PPP loans prior to June 5, 2020 can extend their 2-year loan term to 5 years with mutual agreement between the borrower and the lender.
The deadline to rehire employees is now December 31, 2020. This replaces the original deadline of June 30, 2020.
NEW YORK REOPENING:
Businesses - including those deemed essential - will be required to complete and implement a health and safety plan to help prevent the spread of COVID-19. A template to fulfill the requirement is available HERE.
Detailed guidance and reopening procedures for New York businesses are available at https://esd.ny.gov/nyforward.
On June 3, the Senate passed the Paycheck Protection Program Flexibility Act of 2020. The bill now goes to the president to be signed into law. We’re giving folks more flexibility, so that we can get New York’s economy rolling again. This bipartisan legislation will:
- Allow loan forgiveness for expenses beyond the 8-week covered period to 24 weeks, helping small business owners who are unable to reopen their doors keep their workforce on the payroll.
- Increase the current limitation on the use of loan proceeds for nonpayroll expenses from 25 percent to 40 percent, allowing small business owners to use the funds for fixed costs like mortgages, rent, and utilities.
- Extend loan terms from two years to five years.
- Extend the PPP program from June 30 to December 31, 2020.
- Ensure full access to payroll tax deferment for businesses that utilize PPP loans.
NEED HELP GETTING A LOAN? Call my district office at (845-561-1259), the SBDC (Small Business Development Center) in Mid-Hudson (845-443-8058) or Westchester (845-356-6065) for assistance.
NOTE: The SBA has resumed accepting new Economic Injury Disaster Loan applications for all eligible small businesses and agricultural businesses.