The above haiku is my offering to you to make up for the fact that today is a repeat. (As I typed this, I flashed back to how upsetting that word was when I was a child—tuning in to my favorite show only to discover that it was a “repeat.” The horror.) This information is worth repeating, though. With thanks to ABA’s advocacy team, below is critical information about loans, grants, and the FFCR Act that begins TOMORROW, April 1. (By the way, I’m pretty sure that April Fool’s Day is postponed this year, like most everything else.) So, without further ado, an oldie but a goodie:
Start the Loan and Grant Process Now
- Check the ABA website for opportunities in your region.
- Read the U.S. Chamber of Commerce’s Guide & Checklist
- Read ABA’s summary of specific provisions of the CARES Act
- Read the Senate Committee on Small Business & Entrepreneurship’s CARES Act guide and frequently asked questions
- Sign up for more information about Facebook’s Small Business Grants Program
- Start preparing documents you may need to apply for loans and grants:
- Three years of business tax returns and personal tax returns for all principles.
- Your 2019 tax returns or, if that’s not possible, your 2019 year-end financials.
- Year-to-date profit and loss and balance sheets
- A personal financial statement for any owner who owns more than 20 percent of the company.
- A debt schedule or list of liabilities for your business.
- Your monthly operating expenses from March through September of last year.
- Sales and cost of goods for 2019
- Names, address, phone, numbers, and social security numbers for all owners
- Corporate name, ID number, address, and phone number
- Number of employees as of January 1, 2020
- Bank name, account number, and routing number
Remember: April Begins a New Legal Requirement
The Families First Coronavirus Response Act takes effect TOMORROW, April 1. The law includes significant changes to employee pay as it relates to the COVID-19 outbreak, such as mandating paid family leave and paid sick leave.
It’s also important to note that bookstores with fewer than 50 employees may be able to apply for an exemption from paid sick leave and expanded family and medical leave if providing either of the types of paid leave could “jeopardize the viability” of their business. The Department of Labor (DOL) has not yet issued guidance on how to apply for this exemption to-date but notes that a small business will have to document why it meets the criteria. DOL noted this exemption will be addressed in forthcoming regulations. For questions regarding the exemption, please contact ABA’s Advocacy team at firstname.lastname@example.org.
In general, it’s important that you understand this LEGAL REQUIREMENT and the relief associated with it:
- Read ABA’s summary of specific provisions of the Families First Coronavirus Response Act
- Read the Department of Labor’s resources on COVID-19 and the workplace
- Importantly, read the department’s comprehensive Families First Coronavirus Response Act: Questions and Answers
The law provides employers with a refundable tax credit equal to 100 percent of qualified sick and family leave wages paid. Employers can claim the credit quarterly. And the CARES Act provides for advanced refunding of the payroll tax credits enacted in the Families First law. The credit for required paid sick leave and the credit for required paid family leave can be refunded in advance using forms and instructions the IRS will provide. ABA’s Advocacy team will provide updates as they become available.
For specific questions about how these changes may impact your store, contact your payroll or human resources company, your state’s Department of Labor, or reach out to ABA’s Advocacy team at email@example.com.
ABA is here to support you. Please reach out if there is anything we can help with. We are an incredibly creative, resilient, supportive industry. We’ll get through this, together.