Friday, April 3, 2020
Independent Law schools and small to mid-sized law firms can apply for low interest, partly forgiveable SBA loans (Michael Simkovic)
As part of the CARE Act passed in March, the Small Business Administration (SBA) is working with private banks to make several hundred billion dollars available to businesses with fewer than 500 employees. Non-profits are eligible. Law schools that are separate legal entities from their universities (or are independent and unaffiliated) may qualify, as may small law firms. The loans carry a 1% interest rate and are partly forgivable, based mainly on a firm's payroll expenses and in part on its mortgage or rent.
The funds are being distributed on a first-come, first-served basis and are expected to be quickly used up.
Details are available here.
Bank of America is processing applications today. Chase will begin processing applications next week.