Financial Relief from the CARES Act
Helping Your Phoenix Business Survive the Financial Effects of COVID-19
As a bankruptcy law firm, we understand that the hardest working people can find themselves facing financial hardship due to circumstances beyond their control. The COVID-19 pandemic has wreaked havoc on our economy, and many are now considering bankruptcy even though they never once saw this for themselves in their future. As a law firm that frequently serves small businesses, we also know what kind of stress you may be experiencing if you own your own company.
For more many years, we have helped clients of various backgrounds, occupations, and income levels make positive, strategic decisions about their legal and financial matters – and we are prepared to do the same for you and your business. We can assess whether you qualify for financial relief under the CARES Act, as well as many other forms of debt restructuring and reduction processes.
What Is the CARES Act?
The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act was enacted by Congress on March 27, 2020, in response to the COVID-19 pandemic. The CARES Act has made $349 billion available to small businesses in the United States to help them keep their doors open. These funds are available through the Small Business Administration’s new Paycheck Protection Program (PPP), which is intended to help business owners pay rent, keep the lights on, and cover payroll-related costs.
You may be eligible to receive funds through the PPP if:
- You are an independent contractor;
- You are a sole proprietor or self-employed individual;
- You run a non-profit/501(c)(3) with fewer than 500 employees; or
- You run a business in any industry with fewer than 500 employees.
The qualifications and restrictions are complex, which is why our team at The Gavel is fully prepared to help you understand your options and determine the best way to obtain financial relief.
Call The Gavel at (602) 560-4679 to get in touch with one of our Phoenix attorneys. We provide complimentary case evaluations and, if necessary, same-day appointments to accommodate your most urgent needs.
The CARES Act has modified the Small Business Reorganization Act in a variety of ways, including (but not limited to):
- Increasing the maximum qualifying debt to $7.5 million
- Applying all the debtor’s disposable income toward a 3-5-year repayment plan
- Eliminating the requirement that debtors must pay administrative expense claims on the day the plan is put into effect
Additionally, all federal relief per the CARES Act is protected from income calculations for bankruptcy purposes.
The provisions of the CARES Act are set to expire on March 20, 2021. If you own a small business and are considering filing for Chapter 11 bankruptcy, now could be the perfect time. However, deciding whether to file bankruptcy will have long-lasting effects on your business, and you owe it to yourself to consult with an experienced bankruptcy attorney.
Business and individual solutions!
Custom tailored solutions for your case.
Accessibility to a legal team that is rooting for you.
High level of quality service & genuine care for your success.
At The Gavel, our job is to develop the strategy that helps you overcome severe financial adversity. Your business is your livelihood, your passion, and likely the fruition of a lifelong dream--and we want to give you the legal and financial resources you need to protect it. Whether we help you attain relief through the CARES Act or through small business bankruptcy, you are in good hands with our team.