- How they determined which schools to close, and reopening schools in areas with high volumes of emergency personnel
- How they managed payroll
- The importance of parent engagement
- The ways they’re managing social distancing and other health guidelines at the centers that are open
- How they are addressing tuition
- Ways they’re working with landlords to save money on rent
The webinar then shifted gears to Radha and Reese, who gave a helpful overview of the financial resources available from the Small Business Administration (SBA). Perhaps one of the most crucial points they emphasized was the need to apply as quickly as possible since it’s a first come, first serve model, and all indications show the SBA is getting flooded with applications.
They then described to two largest loan programs available to child care centers with fewer than 500 employees: the Paycheck Protection Program (PPP) and the Economic Injury Disaster Loan (EIDL) program. The PPP is available by applying through an approved lender, while the EIDL can be applied for online. For each program, they went into depth on eligibility, how to apply and how the funds can be used.
They also shared some helpful tips to keep in mind:
- For the PPP, approach a bank that you have a relationship with; many banks are prioritizing their existing customers over new ones.
- The PPP offers loan forgiveness for eight weeks of payroll costs, but to get that, you have to make sure 75 percent of the funds you receive are used for payroll-related expenses (which include healthcare, state taxes, retirement contributions, etc.).
- If your organization has more than 500 employees, you can explore options around payroll tax deferral and employee retention tax credits.
For more specifics on what Radha and Reese presented, you can access their full presentation here.
Click here to watch the webinar.
And if you’d like more information about the funding options available to you within the CARES Act, Procare has put together an easy-to-read guide, which provides everything you need to know, including how to apply.