I know the stimulus package includes PPP (paycheck protection program) for small businesses. Will our producers here be apply to apply for that? Just curious, and I hope that's the case.

MM, I'm sorry if this is off-topic, but I wanted to post here to kick off the discussion. Thanks.

As far as I'm aware the only restrictions of the program are religious/charitable organizations, primarily gambling revenue and anything else prohibited under federal law (i.e., legal cannabis shops).

Your best bet is to work with a bank you have an existing relationship with and apply through them.

There is specific verbiage in the stimulus bill prohibiting people in the adult industry from benefiting

Of course there is. FFS.

Also, keep in mind that the CARES Act is not free money, it's a loan, loans bear interest. Whatever you get you're going to have to pay back, and then some. Yes it's only 1% (for now), but it hasn't also been made 100% clear how this affects your taxes next year.

Also keep in mind that private banks are involved in the dispensing of funds...and let's just say that the banks with the most don't have the best track record with abiding the law (yes, I'm looking at you Bank of America).

https://money.com/sba-loans-stimulus-ppp-application-requirements/

https://www.womply.com/blog/do-i-have-to-pay-back-my-ppp-loan-heres-how-to-get-your-loan-forgiven/

This is not quite accurate. I mean, of course nothing is ever free. But these funds may end up being "free" depending on what part of the program you qualify for and as long as you keep your end of the deal. My company just applied and was approved for a loan through this package. It's largely forgivable if you stick to the terms but (currently) the max percentage rate, even if you don't fully comply, is 4%.

"Businesses can get a loan equal to their average monthly payroll multiplied by 2.5 plus certain outstanding loans. But there is an upper limit of $10 million.

That payroll average is calculated by taking the one-year period before the date the loan is made. For seasonal employers, it's the 12-week period starting February 15, 2019, or March 1, 2019, and ending June 30, 2019.

This is a partially forgivable loan, meaning the company won't have to pay it back in full as long as a certain set of requirements are met.

In the first eight weeks after getting the loan, any amount that's put towards payroll costs for annual salaries lower than $100,000, mortgage payments, rent, or utilities will be forgiven. But penalties will incur if the business lowers any salaries or the number of employees -- they'll have until June 30th to make up for any reductions."

Many banks were taken by surprise when it was announced that applications would be taken and the money would be disbursed at the bank level, instead of directly through the Fed and/or SBA. The smaller regional banks seem to have their act together better in this regard, rather than the larger banks, which we found interesting in our process. The big banks took longer to hammer out their requirements and/or had more red tape to cut through.

The loan program is actually not a good option for some small businesses - some would do better to apply for disaster relief and to let their employees collect traditional state unemployment benefits along with the new Federal unemployment program. Slate has a good article on that particular subject here:
https://slate.com/business/2020/04/cares-act-small-businesses-paycheck-protection-program-coronavirus.html

Bee

A loan wouldn't do me much good.

I've suspended filming until this passes because I don't want to get my roommates sick. They visit children and the elderly on a regular basis.

I'm a CPA, and I've read a little bit of the bill. this is 100% correct , there is specific language prohibiting the porn industry. However... maybe this could be considered an "art" form.

It all comes down to whether it could be considered "prurient" I suppose according to the verbiage. But it does also mention full nudity. So who knows.

At about the 10 minute mark, Philip DeFranco mentions Wisconsin Strip Clubs suing because they are being denied access to the stimulus.

https://youtu.be/O8PPPE6tso4