Dorsey – U.S. Small Business Administration offering Emergency Financing for Payroll and Other Expenses to Qualified Entities Suffering Substantial Economic Injury as a Result of the Coronavirus (COVID-19)
The ongoing spread of Coronavirus/COVID-19 (“CV19”) continues to have massive effects on the global economy generally and U.S. businesses, large and small, specifically. The U.S. federal government has been hard at work implementing measures to bolster the economy during this current crises. One source of relief for many small businesses and other entities may be a federal disaster loan in an amount up to $2 million as provided via the U.S. Small Business Administration (“SBA”). Another source of relief for most small businesses, and many large businesses and certain other entities located in the U.S. can be found in Section 1102 of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) which creates a new program under Section 7(a) of the Small Business Act of 1958 (the “Paycheck Protection Program”).