Last week the U.S. Small Business Administration opened applications for the Paycheck Protection Program (PPP), a portion of the Coronavirus Aid, Relief, and Economic Security Act (better known as the CARES Act).
The program authorizes up to $349 billion in forgivable loans to allow small businesses to maintain their payroll in the weeks and months to come.
According to the SBA, the following entities affected by Coronavirus (COVID-19) may be eligible:
- Any small business concern that meets SBA’s size standards (either the industry based sized standard or the alternative size standard). You can use the SBA's size standards tool to determine the size of your business.
- Any business, 501(c)(3) non-profit organization, 501(c)(19) veterans organization, or Tribal business concern (sec. 31(b)(2)(C) of the Small Business Act) with the greater of:
- 500 employees, or
- That meets the SBA industry size standard if more than 500
- Any business with a NAICS Code that begins with 72 (Accommodations and Food Services) that has more than one physical location and employs less than 500 per location.
- Sole proprietors, independent contractors, and self-employed persons.
You can find the full Paycheck Protection Information Sheet from the Treasury Department here and the application here. The SBA also has a tool for finding lenders who are eligible to issue a loan under the Paycheck Protection Program.
If you are a small business owner and plan to apply, lenders will require additional documentation from you regarding your business status and payroll. Documents requested may include a Certificate of Good Standing, a copy of your Articles of Incorporation (corporations) or Articles of Formation (LLCs). You can learn more about what a Certificate of Good Standing is and here is what you need to know about your Articles of Incorporation or Formation.
The Incorporators is available to assist you by obtaining these documents for you quickly and with no hidden costs.
We understand that turnaround time is more important now than ever. Turnaround time for a Delaware Certificate of Good Standing or a Certified Copy of your Articles of Incorporation or Formation is same day, generally within an hour, during normal business hours (M-F; 9:00am to 5:00pm EST). If ordered after hours, the Certificate of Good Standing or Certified Copy will be delivered the next morning. Delivery is by email.
The Incorporators is proud to stand by our small business clients during this challenging time. If you have any questions, feel free to call us directly at 800-223-3928 or contact us here.