AMARILLO, Texas (KAMR/KCIT) — COVID-19 is not only hitting national businesses hard but also many local businesses are especially at a loss.
The government is looking at a new program through banks that may help.
Many businesses have had to lay off employees because of recent struggles.
We spoke with William Ware, the president of Amarillo National Bank. He said there soon should be a new government payroll protection program that may be able to change the tide for many businesses.
Ware said it is a first, that it is essentially a loan to support payroll, rent, utilities, and interest expense for two and a half months. He said it allows employers to keep employees on staff throughout this crisis.
“Average monthly expenses, over the last year, for payroll, rent, utilities, and interest expense; that’s your base number. Times that by two and a half and that’s the loan amount that will be offered by this program. Plus the customer won’t have to repay it if they keep their employees on staff for at least eight weeks through this crisis. That’s what makes this program so special,” said Ware.
Keeping your employees on staff throughout this eight week period is one factor that makes a business eligible.
Businesses can submit a form through their local bank to have this loan be forgiven. This form will be available as soon as legislation is passed.
ANB and other banks will have guidelines available online soon.
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