PPP loan recipients gain new flexibility, while retaining loan forgiveness.
On May 15, 2020, the Small Business Administration (SBA) published a Loan Forgiveness Application that provides long awaited information regarding loan forgiveness under the Paycheck Protection Program (PPP). The PPP generally provides that borrowers are eligible for forgiveness of their PPP loans based upon certain qualifying expenses that arise during the eight-week period commencing on the date the loan was funded (which is known as the Covered Period).
New funding options may exist for businesses, thanks to a new bill from the House and several potential modifications to existing federal relief programs.
Companies that received PPP funds now have an extra week to decide if they should give them back.
There has been a clear shift in the political environment propelled by public discussions of certain large, public companies obtaining loans under the Paycheck Protection Program (the “PPP”) authorized by the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), including Shake Shack, Ruth’s Chris and others. During this time, many small businesses have been quoted in the press expressing frustration with their inability to access the PPP program prior to the first round of guarantee authority being exhausted.
New guidance assures that ESOP companies are eligible for key federal relief under the Paycheck Protection Program.
New guidance and a resource page from the EEOC can help reduce risk as employers make plans to reopen their businesses.
Congress and the Trump Administration have reached a deal on a new round of coronavirus aid entitled the Paycheck Protection Program Increase Act of 2020. The ESOP Association has remained aggressively engaged with key leaders in Congress and the White House to ensure ESOPs and employee owned businesses remain front of mind as legislation is drafted.
In response to TEA request, two influential Senators take action to clear the way for ESOPs to receive PPP funds.
Sharing these three informational resources with your employee owners can help them grapple with today’s challenges.
The CARES Act offers credits to businesses that take steps to retain their employees. This Q&A can help ESOP Association members better understand these credits and how they are applied.
ESOP companies can apply for greatly expanded federal financial assistance that may qualify for partial or full debt forgiveness. Read More
See how the latest bill for COVID-19 relief, just passed by the Senate, can help ESOP companies grapple with the economic downturn.
The ESOP Association today sent a letter to the Secretary of Labor asking for emergency plan flexibility, regulatory guidance, and investigatory relief for active or new routine EBSA investigations.
ESOP Association President & CEO Jim Bonham specifically requested that DOL:
In votes held last night and today, the Senate was unable to move forward on a proposed multi-trillion dollar “Phase 3” piece of legislation that would provide a massive infusion of cash and loan relief for private sector businesses. The legislation is currently stalled over disagreements between Republicans and Democrats over the nature of corporate relief and its uses.
These slide decks show the nation's response to COVID-19 in a quick, easy to read format.
As Congress considers various aid packages for businesses negatively affected by the coronavirus pandemic, The ESOP Association is working to ensure the needs of the ESOP community are part of the discussion.
H.R. 6201 would expand the Family and Medical Leave Act (FMLA), creating a new form of mostly paid job-protected leave for affected employees. It also would create a new form of immediately available, short-term paid sick leave. These provisions would take effect within 15 days of enactment by the President.
ESOP Surveys, Economic Performance Survey, Revenue, Profits, Productivity, ESOPs Share the Wealth, Resource
The Economic Performance Survey has been the yardstick for measuring the success of The ESOP Association’s member companies since 2000.
ESOP Surveys, Resource, Benefits, Company Size, Diversification
This survey of ESOP Association corporate members, conducted every five years, offers unique insights—including aggregated data on company size, benefits, diversification, and industries—into the ESOP community.