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All in Venture Capital
COVID-19 has put pressure on small businesses that might not have the cash reserves to make it through lockdown unscathed. To stay afloat, many startups may turn to venture capital financing to get access to much-needed funds. Like during the previous recession, many small business owners may need to resort to down-round investments to keep their companies alive in the wake of COVID-19.
Recent decisions in the Delaware Court of Chancery confirm that investors exercising blocking rights may be held liable for breach of fiduciary duties. Startups and venture capitalists alike should be careful not to prevent access to capital in times of need.
On Friday, June 5, 2020, President Trump signed the Paycheck Protection Program Flexibility Act (PPPFA) after it was nearly unanimously passed by the House and Senate. The PPPFA relaxes the requirements for PPP loan forgiveness and gives businesses more time to pay back their debt.
Learn the details of how small businesses and entrepreneurs can apply to have their PPP loans forgiven.
On March 27, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security Act. The law provides $349 million in Paycheck Protection Program loans for small businesses, which have been devastated by the coronavirus pandemic.
