Chrisman, Ramsey & Foster PC handles a wide variety of complex business issues for corporate clients and small business owners across the country. Protecting our clients’ rights while preserving their valuable resources and time is one of our highest priorities. Our team is here to help business owners navigate the ever-changing legal landscape during the COVID-19 pandemic. This blog will help shed some light on the relief programs within the CARES Act, like the Economic Injury Disaster Loans (“EIDL”) and Paycheck Protection Program (“PPP”).
Economic Injury Disaster Loans are working capital loans to help businesses and private, nonprofit organizations meet ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. They are intended to assist through the disaster recovery period.
The Paycheck Protection Program loans are forgivable loans to small businesses to pay their employees during the COVID-19 crisis. The PPP is implemented by the Small Business Administration and administered through local banks who are participating in SBA lending.
Economic Injury Disaster Loan (“EIDL”) vs. Paycheck Protection Program (“PPP”)
Comparison as of 4/1/2020. It’s just the basics.
EIDL vs. PPP Comparison Chart
Looking for a more in depth explanation of this comparison. Check out EIDL vs. PPP Informational Video by Drew Christman, managing partner of Christman Attorneys, PLLC.