Moxey participated in several conference calls today with the US Chamber of Commerce, the SBA, the Whitehouse and other government leaders in regards to the ongoing economic crisis caused by the Coronavirus. We have over 4,000 business members and we're doing everything that we can to help you stay informed. This is a recap of what we learned today:
The administration is making it easier for impacted small businesses to apply for an economic injury disaster loan of up to $2 million.
They have already signed disaster declarations as of today, 45 states and Puerto Rico, and anticipate that declarations will be made for all 50 states, the District of Columbia, and the territory by Monday.
They have changed the policy so that payments are deferred up to one year on economic injury loans and can be deferred up to six months on our standard SBA loan portfolio.
Additionally, the Small Business Administration has $18 billion available in lending authority for seven eight loans. And they are making it easier and faster to get them.
Tax Day was moved from April 15 to July 15 giving businesses and individuals the extra time to file and pay without interest in penalties. You can still file business or individual taxes to receive your refund, if applicable, sooner.
Signed into law, critical support for American workers, families, and small businesses. Providing paid sick leave and family medical leave to those affected by the virus, at no cost and will be fully reimbursed. Those who are ill themselves or caring for sick family members are reminded to please stay home.
Dollar for dollar reimbursement for small businesses through tax credits. The administration will be using the Congress’ authority to give exemptions for small businesses in certain circumstances that threaten the business' life and viability. They will also be seeking public input and providing more public guidance on the law.
The Treasury will allow Payroll Tax Withholding in the rare event that such withholdings are insufficient. Small businesses with 50 employees or less will be exempt from certain requirements if that business is in jeopardy.
Taking care of the businesses we already serve by giving flexibility and training to our contractors to manage their small business portfolios during this very difficult time. The administration is continually looking at more ways to simplify processes and bureaucratic barriers to get capital in the hands of all customers.
All businesses can apply for loans directly http://www.sba.gov/disaster
They are working with Congress to give direct payments to hard working Americans and relief to affected industries and to provide $300 billion directly to our country's small businesses.
They have put in place a new overtime rule that made more workers eligible for overtime.
They set the exemption level at a reasonable amount of $35,000 and capping at $47,000 as the last level.
This year they put out a rule on joint employment for greater clarity on a minimum wage and overtime requirements that will decrease compliance costs and legal fees, and to make it easier for small businesses to enter franchise relationships.
They have an enormous fund developing for guaranteed loans to small businesses, so they can overcome the next upcoming weeks.
President Trump assured us that the administration is taking the most aggressive actions possible to deliver immediate relief to businesses and workers. Overall, the sentiment of the call was positive and encouraging. All of the resources of the US government are being mobilized to stabilize the economy with an emphasis on the 30 million small businesses who are the pride of our country and the backbone of our communities. These companies employ 59 million Americans, nearly half of our workforce.
NOTE: This is a very fluid situation and we should anticipate that some of the details above could be changed in the coming days and weeks.