Churches Qualify for Relief Under the CARES Act

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One of the most significant financial commitments ever made by the federal government is the CARES act, which provides financial relief through loans to small businesses, including churches through the Paycheck Protection Program. The relief is designed to maintain employment. If borrows can maintain employment, some or all of the loan may be forgiven. This will be of tremendous benefit to many churches. 

The funds are being processed through private banks. However, the legislation was passed and implemented so quickly that a number of banks were confused about whether churches were covered. As a result, many churches that applied have been denied. The denial was in error, as the legislation clearly applies to nonprofit organizations, and does not exclude religious ones. 

Our friends at  Church Law & Tax Advisors have an article that explains the details. Please note that the article includes a downloadable link from the Small Business Administration that brings clarity to the issue. If churches have experienced a denial, they should print the information from the SBA and take it to the lender that denied the loan. We wish all of our readers the very best in this extremely difficult time for many who have reached out to us. The link is here:

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