Important Updates on Federal and State Funding Programs
Last updated June 4, 2020
As States and businesses across the country continue the reopening process, there is an evident sense of hope with regard to the COVID-19 health crisis. However, the economic hardship endures, and small and medium-sized businesses continue to be in great need of relief as the financial impacts of the pandemic continue. Even with quarantines slowly lifting, it will take time and funds to achieve continuity and reach a "new normal." In welcome news, there have been recent developments on both the State and Federal levels in the form of funding expansion, broadened eligibility, and the relaxation of restrictions.
We encourage you to review the below updates on the Federal Paycheck Protection Program and the NJEDA's Small Business Emergency Assistance Grant Program.
Yesterday, the United States Senate passed the Paycheck Protection Program Flexibility Act of 2020, without change from the version passed by the House of Representatives a few days earlier. If signed into law by the President, the much-anticipated amendments to the PPP provisions of the CARES Act will relax a number of the eligibility requirements regarding loan forgiveness and bring welcome relief to borrowers.
The New Jersey Economic Development Authority has announced that applications will open at 9 a.m. on Tuesday, June 9, for Phase 2 of its Small Business Emergency Assistance Grant Program. Phase 2 offers larger grants (up to $10,000) and much-expanded eligibility to New Jersey's small businesses, home-based businesses, sole proprietorships, and 501(c)(3), 501(c)(4), and 501(c)(7) nonprofit organizations. Interest in this grant program is expected to be very high, and applications for Phase 2 will be processed on a first-come, first-served basis.
Please contact your CSG attorney or one of the attorneys listed below for further insight into how CSG’s Governmental Relief Funds Advisory Team can assist you and your business in securing the governmental pandemic relief funds discussed above.
For additional information pertaining to the intersection of the pandemic and your business operations, please visit CSG’s COVID-19 Resource Center.
This publication contains general information on recent legal developments and is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. Attorney Advertising. Prior results do not guarantee a similar outcome.