COVID-19 U.S.A. Update: Are You Aware of FFCRA and SBA Legislations?

As the COVID-19 crisis continues to impact businesses across the US, permanent workforce reductions are a looming possibility (if not a reality) for many employers.

To help businesses survive this ordeal, the US government has enacted several legislations, which we wanted to share with you:

Families First Coronavirus Response Act (FFCRA or The Act)

On March 18, 2020, the President signed the new Families First Coronavirus Response Act (FFCRA or The Act) – effective until December 31, 2020 – that requires employers with less than 500 employees to provide a specific amount of paid sick leave and paid leave to employees affected by the new coronavirus.

It also provides affected employees with a corresponding employment tax credit and has temporarily expanded the Family and Medical Leave Act (FMLA) requirement to provide protected leave related to the coronavirus.

The FFCRA contains three sections:

  • Emergency Family and Medical Leave Act Expansion
  • Emergency Paid Sick Leave
  • Tax Credits for Paid Sick and Paid Family and Medical Leave

To learn more about the FFCRA, be sure to read this post from the US Department of Labor:

Small Business Administration (SBA) Economic Injury Disaster Loan

The US Small Business Administration (SBA) is also offering low-interest federal disaster loans to small businesses to help them cope with the economic losses caused by the coronavirus crisis.

The loans offer up to $2 million in assistance and can provide vital economic support to small businesses during these times. These loans have an interest rate of 3.75% and can be used to pay fixed debts, payroll, accounts payable and other bills. You can apply for a disaster loan here:

To learn more about the SBA Economic Injury Disaster Loan, read this post from the US SBA:

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As you know, 2020 hasn’t been an easy year, yet despite the odds, many dealers are not just surviving but actively thriving in today’s market.

So, what does 2021 hold?

Find out in our Trends Report.