YOUR ACTION PLAN FOR YOUR PAYCHECK PROTECTION LOAN
If you feel as though the current economic conditions necessitate a loan to support your ongoing business operations, the Federal Government is offering you 8 weeks of assistance in the form of an SBA Loan. A portion of the loan may convert to a tax-free grant that is not required to be repaid, as long as you use the loan proceeds to pay payroll, rent and utility payments (electric, gas, water, internet and telephone). Specifically, the amount of the loan that is forgiven is equal to sum of “payroll costs” (up to an annual per-person limit of $100,000), rent, interest on mortgages and utility services paid during the 8-week measurement period.
The purpose of the “Paycheck Protection Program” is to help you retain your employees at their pre-disaster base rate of pay. Your loan amount is based upon your average monthly “payroll costs” for the 1 year prior to the date the loan is made multiplied by 2.5. Payroll Costs include employee salaries (up to an annual rate of pay of $100,000), hourly wages, cash tips, paid sick time, and group health insurance premiums. Consider the possible benefit of paying ALL accrued “payroll costs” by March 31, 2020 to secure the maximum loan amount.
The SBA is authorizing your FDIC Insured bank to originate, disburse and administer this loan program.
PLEASE TAKE IMMEDIATE ACTION! YOU MUST TAKE TO YOUR BANK:
1-Company’s Federal and CA Payroll ID numbers: Federal_______________; CA__________________
2-Gross payroll paid in the last 12 months: $________________ and 2019 Form W-3 & W-2’s.
2019 Q2 $_____________+ 2019 Q3_____________ + 2019 Q4_____________ + 2020 Q1_____________
3-Independent contractor payments for the last 12 months: $___________ and 2019 Forms 1096 and 1099’s. Only those 1099 payments considered earnings from self-employment applies.
4-Group health insurance premiums paid in the last 12 months: $______________
5-Non-Dicretionary (required 401(k)) retirement benefit payments paid in the last 12 months: $__________
6-If you are a Sole proprietor, bring your most recently filed tax return showing income and expenses.
This is a SAME DAY LOAN that converts to a TAX-FREE GRANT NOT REQUIRED TO BE REPAID as long as you use the funds to pay the “same 12 months average payroll” as before the crises. PLEASE TAKE IMMEDIATE ACTION if you are impacted. YOUR employees need you during this terrible time and YOUR UNITED STATES GOVERNMENT wants to help you so PLEASE ACT NOW!