Relief for Small Businesses & Nonprofits
FACT SHEET: RELIEF FOR SMALL BUSINESSES AND NONPROFITS
The Federal Reserve’s Main Street Lending Program
The Main Street Lending Program is designed to provide support to small and medium-sized businesses and their employees across the United States during the current period of financial strain by supporting the provision of credit to such businesses. The availability of additional credit is intended to help companies that were in sound financial condition prior to the onset of the COVID-19 pandemic maintain their operations and payroll until conditions normalize.
The Federal Reserve Bank of Boston has set up a special purpose vehicle (SPV) to purchase up to $600 billion of participations in loans originated by eligible lenders. Lenders will retain a percentage of the loans.
- U.S. businesses may be eligible for loans if they meet either of the following conditions: (1) the business has 15,000 employees or fewer; or (2) the business had 2019 revenues of $5 billion or less.
- Loans issued under the Program have a four year maturity, and principal and interest payments on the loans will be deferred for one year.
- Eligible lenders may originate new loans (under MSNLF and MSPLF) between $500,000 to $25 million or increase the size of (or “upsize”) existing loans (under MSELF) made to eligible businesses.
- Loans have an adjustable rate of LIBOR (1 or 3 month) + 300 basis points.
- Loans are not forgivable like PPP
For more information and frequently asked questions visit the Main Street Lending Program website.
For specific information for borrowers you can visit this page.
For specific information for lenders you can visit this page.
The CARES ACT encourages charitable giving by increasing the limitation on charitable deductions from 60% to 100%.
As businesses begin to reopen, practicing safe and healthy habits is important. See the CDC’s guidelines for reopening and cleaning here.
The U.S. Chamber of Commerce has created guidelines on eligibility for loans and assistance.
The Minnesota Chamber of Commerce has created a thorough toolkit for small businesses and organizations to navigate this challenging time. The toolkit includes webinars, resources, safety guidelines and more.
The Minnesota Department of Revenue is extending the grace period on Sales and Use Tax payments to May 20, 2020, for businesses identified in Minnesota Executive Order 20-04. If you have questions you can call 651-296-6181 or 1-800-657-3777, or email firstname.lastname@example.org.
The IRS has extended tax filing and payment deadlines and has set up resources for those impacted.
The Department of Treasury has created helpful fact sheets for borrowers, lenders, and other resources for small business owners.