By SEMA Washington, D.C., Staff
The Coronavirus Preparedness and Response Supplemental Appropriations Act of 2020 enacted on March 6 (Public Law 116-123) includes a provision allowing companies to seek a Small Business Administration (SBA) emergency loan of up to $2 million. Small businesses in at least 17 states are now eligible to apply, and many more states are expected to qualify for loans in the near future. For motor vehicle parts manufacturers, the definition of “small business” ranges from 1,000 to 1,500 employees or less depending upon the specific product.
- Loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rates are 3.75% for small businesses and 2.75% for non-profits.
- March 25 update: Small business owners in all U.S. states and territories are currently eligible to apply for a Coronavirus loan.
For additional information:
- SBA disaster assistance loans
- More information on accessing federal resources, such as working capital loans and counseling, and navigating their preparedness plans: www.SBA.gov/coronavirus.
Questions: contact Stuart Gosswein at email@example.com.