Dear Schiff Clients
We are here for you!
PPP Loan Applications
I want to first clarify the 7 PM e-mail update from this evening’s e-mail. Since the introduction of the PPP Loan, I am suggesting to all clients, that you apply for your PPP Loan. If you chose to accept it, we will need to determine your strategy. If you chose not to accept it, that’s your choice!
EIDL / SBA e-mail
At 8:35 PM , this evening, I was notified about the SBA EIDL / PPP Program. (see below) . With respect to the EIDL Grant >> please note this >> To ensure that the greatest number of applicants can receive assistance during this challenging time, the amount of your Advance will be determined by the number of your pre-disaster (i.e., as of January 31, 2020) employees. The Advance will provide $1,000 per employee up to a maximum of $10,000.
Now we have a clear understanding on how your EIDL Grant will be determine. Please check your e-mail (and / or JUNK or SPAM mail) for the same notification. You should have a notification as well!
Have a nice evening!
We are here for you!
On March 29, 2020, following the passage of the CARES Act, the SBA provided small business owners and non-profits impacted by COVID-19 with the opportunity to obtain up to a $10,000 Advance on their Economic Injury Disaster Loan (EIDL). The Advance is available as part of the full EIDL application and will be transferred into the account you provide shortly after your application is submitted. To ensure that the greatest number of applicants can receive assistance during this challenging time, the amount of your Advance will be determined by the number of your pre-disaster (i.e., as of January 31, 2020) employees. The Advance will provide $1,000 per employee up to a maximum of $10,000.
You may be eligible for another loan program, the Paycheck Protection Program, which is available through participating lenders. Below is a comparison of the two loan programs:
Paycheck Protection Program Full EIDL Loan
||Forgivable if used for payroll (minimum of 75% of the funds received) and the remaining for certain operating expenses (amount of any EIDL advance is not forgivable)
||To meet financial obligations and operating expenses that could have been met had the disaster not occurred (amount of any EIDL advance is forgiven)
||Up to $10 million
1% interest rate
|Up to $2 million
3.75% for businesses
2.75% for non-profits
||NO – EIDL Loan
YES – EIDL Advance
|FIRST PAYMENT DUE
||Deferred 6 months
||Deferred 1 year
To locate a Paycheck Protection Program Lender, please visit: www.SBA.gov/PaycheckProtection.
Information on available resources may be found at www.sba.gov/coronavirus. For more information on these services, please go to www.sba.gov/local-assistance to locate the email address and phone number for the nearest SBA district office and/or SBA’s resource partners.