01 Apr Financial Assistance for Nonprofits Impacted by COVID-19
Heritage Fund & United Way want to make sure Bartholomew County Nonprofits are aware of a unique opportunity to retain staff during this time of uncertainty.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act provides for a Paycheck Protection Program with a forgivable clause for small businesses (including nonprofits) that maintain staffing through June 1.
Nonprofits can apply for operational funding equivalent to 2.5 x their average monthly payroll expenses. As long as loan funds are used for qualified expenses (wages, benefits, rent, utilities etc..) – organizations can apply for and receive loan forgiveness. This, in essence, turns the loan into a general operating support grant.
As we await final details of this program (including application availability) there are steps you can take to prepare:
- Contact the banking institution that holds your accounts and ask if they will be participating in the Paycheck Protection SBA Loan Program. Inquire when applications will be available.
- Share information about this opportunity with board leadership and obtain support to proceed with a loan application..
- Prepare financial documentation including proof of expenses (payroll, rent etc.) and calculation of requested amount.
- Prepare Good Faith Certification letter/document indicating that loan will be used for qualified expenses.
Please click here for additional information from the US Chamber of Commerce regarding the Paycheck Protection Program.
How can we help? Questions regarding the Paycheck Protection Program can be directed to Kristin Munn at email@example.com or (812) 350-3242.
Thank you for your important work during this difficult time. Please know that we are here to support you, your employees and the clients you serve.