Financial Resources

US Small Business Administration Programs

 

  • The recently updated Coronavirus Aid, Relief and Economic Security (CARES) Act allocates $480 billion through the Small Business Administration (SBA) to help small businesses keep workers employed amid the current circumstances they are encountering. The CARES Act provides funding for the Paycheck Protection Program (PPP), modifications to the existing Emergency Injury Disaster Loan (EIDL) program, Express Bridge Loans, and provides automatic SBA debt relief for 7(a), 504, and microloan borrowers.  

  • SBA Debt Relief Program automatically pays the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months, and also automatically pays the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.

Local Loan Programs

While federal economic disaster relief efforts are underway, immediate help is needed to keep local small businesses from failing. In response, various Gaston County cities have adopted emergency loan programs to help their respective small businesses survive the COVID-19 crisis

 

  • Gaston County Government launched the Small Business Bridge Loan program on Wednesday, April 29. The plan calls for $500,000 in loans to be made available to Gaston County businesses with 50 or fewer employees. Each low interest loan will be up to $5,000 each, in an effort to serve Gaston County small businesses.

  • The City of Belmont offers small business emergency loans to locally owned, non-franchise businesses located within the Belmont corporate limits as part of the City’s “Keep the Lights on in Belmont” program. Loans to eligible small businesses will be awarded in amounts up to $10,000 to help cover operating expenses until state or federal assistance is available or until the economic crisis passes.

  • The City of Mount Holly’s loan program provides emergency, short-term loans to small businesses located within the City limits of Mount Holly for the purpose of paying rent or mortgage payments to avoid eviction or foreclosure. Loan amounts equal the actual monthly rental or mortgage payment of the business, not to exceed the sum of $5,000 per month, for up to three months.

 

State & Federal Tax Return Information

The US Treasury Department, Internal Revenue Service, and NC Department of Revenue are providing tax filing and payment relief to individuals and businesses in response to COVID-19.

 

  • The Treasury Department and the Internal Revenue Service have extended the filing deadline for tax returns from April 15 to July 15, 2020. The IRS urges taxpayers who are owed a refund to file as quickly as possible. For those who can't file by the July 15, 2020 deadline, the IRS reminds individual taxpayers that everyone is eligible to request an extension to file their return. 

Employee Retention Tax Credit

 

The Coronavirus Aid, Relief, and Economic Security (CARES) Act created a new employee retention tax credit for employers who are closed, partially closed, or experiencing significant revenue losses as a result of COVID-19.

 

  • To be eligible, private employers, including non-profits, carrying on a trade or business in 2020 must have operations partially or fully suspended as a result of orders from a governmental authority due to COVID-19, or experience a decline in gross receipts by more than 50% in a quarter compared to the same quarter in 2019.