Phase Three of Congress’ COVID legislation includes several important tools that dealerships may be eligible for, including the SBA Paycheck Protection Program (“PPP”).
The PPP allows for loans through SBA approved lenders for 2.5 times average monthly payroll costs (up to $10M), which may be completely forgiven, and is designed to provide immediate liquidity to keep dealership operations ongoing during the pandemic.
Dealers are eligible to make application for PPP loans beginning on April 3.
BSM has developed a checklist of essential items that dealers should consider regarding eligibility, use, and repayment of the loans to assist dealers in this process.
It is expected that the demand will be huge, so it is critical that dealers are prepared to apply for the PPP loans.
Any questions related to this Alert can be directed to Richard Sox, email@example.com or Jason Allen, firstname.lastname@example.org (telephone 850.878.6404); or Shawn Mercer, email@example.com (telephone 919.847.8632).
The foregoing information is provided for educational purposes only and is not to be construed or interpreted as legal advice.