We have two main news updates today – one on applying for a loan from the Small Business Administration under their brand-new Paycheck Protection Program, and another on the early results from a statewide survey of nonprofits.
The SBA’s Paycheck Protection Program (PPP) Loans
CNPE is leaning in hard to support you in navigating the new federal CARES Act and the opportunities it offers nonprofits for borrowing money through the U.S. Small Business Administration at low interest rates – and maybe having those loans ripen into grants.
The SBA just published the application for its Paycheck Protection Program loans on Tuesday afternoon. Early indications are that there will be tremendous demand for PPP funds.
This topic will be the focus of tomorrow’s COVID-19 CEO Roundtable, “Nonprofits and the CARES Act.” Our presenter, Becky Phillips, CPA, CFF, CFE, heads MCM CPAs & Advisors Not-for-Profit Service Team – and serves on CNPE’s board. The webinar will take place on Wednesday, April 1, from 9 to 10:15 AM. (We’re sorry to report that all seats for this webinar are taken, but we will post a replay as soon as we can after it takes place.)
The most you can borrow under the PPP is 2.5 times your average monthly payroll costs for the past 12 months. CNPE is finalizing an Excel worksheet that will help you compile these costs and calculate that maximum; we plan to make that available online tomorrow.
Meanwhile (and this is important!),
- Contact your banker and ask if your bank will be participating in the SBA’s Paycheck Protection Loan Program. Work with your banker to complete the SBA PPP application promptly.
- Share information about this borrowing opportunity with your board leadership and get their support to proceed with a loan application.
- Prepare financial documentation including proof of expenses (payroll, rent etc.) and calculation of the amount you want to borrow.
The Results of the Statewide Survey of Nonprofits
The Kentucky Nonprofit Network partnered with Grantmakers of Kentucky to conduct a statewide survey of nonprofits to see how they are responding to the impact of COVID-19. Over 400 nonprofits responded from across Kentucky and southern Indiana. You can see an excellent three-page summary of the survey results here.
KNN is updating this survey with fewer, more quantifiable questions to document nonprofits’ COVID-related loss of income, furloughs, and staff layoffs. So be watching for details on how you can respond to version 2.0.
Upcoming COVID-19 CEO Roundtables: At 3 PM this Friday, April 3, we will have a special roundtable, “Self-Care in the Time of COVID-19” presented by Kimberly May, an experienced Life and Wellness Coaching Specialist. She will offer an array of actionable advice on tending to yourself during these stressful times. You can register here.
Census 2020: The U.S. Census is already well under way. We encourage all our readers (and all their clients/employees/stakeholders) to complete the 10-minute census survey on line as soon as possible. With physical distancing at a premium, we want to minimize the number of actual census takers who need to be going door to door to get data from those who do not respond.
“The List”: CNPE continually curates its useful COVID-19 Nonprofit Resources List.
CNPE Self-Care Tip of the Day: Pick a web cam from the Monterey Bay Aquarium and watch aquatic life drift (or waddle) by, completely peaceful and impervious to the concerns of those of us on land.
Hang in there. The next few weeks will be challenging, but we can do this together.
Ann L. Coffey, CEO
The CNPE office is closed temporarily to help ensure everyone’s health. Our staff is working remotely to help members. Please don’t hesitate to contact us. CNPE Staff Contacts
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