INDUSTRIAL INFO-TAINMENT Wiring Harness News JULY / AUGUST 2022 19
By Loren Smith ___________________________
The disruption COVID wreaked on the wire harness industry was –– and to some degree continues to be –– substantial . And while the Payroll Protection Program ( PPP ) was well known and widely used by those in our industry , I want to make sure my colleagues are aware of another federal government program that can help offset some of the overhanging COVID pain : Employee Retention Credit ( ERC ).
Unfortunately , ERC was not well publicized and is not well understood . Many harness companies never heard of it , or they and their advisors have checked into it and concluded they are not eligible .
The Employee Retention Credit was part of the March 2021 legislation of the American Rescue Plan Act , which expanded and extended the ERC program and allows eligible employers to benefit from both the PPP and the ERC .
I recently became aware of a division of a well-known consulting firm whose total focus is helping companies navigate the complex
Help Overcoming COVID ’ s Disruptions - Part 2
Loren Smith CEO Blue Valley Capital
rules for applying for ERC funds . They do this by using their own specialized software to put a dedicated infrastructure in place that is totally focused on the ERC application process . They have performed this service for many companies like ours , securing refunds as high as $ 26,000 per employee .
I have already put a number of harness owners in touch with this firm with exceptional results . All had heard of the ERC , but their initial investigation led them to conclude that they were not eligible .
The window on the ERC legislation is closing , but there ’ s still time to apply , and the program has ample funds in place . If your company has fewer than 500 employees , and if you have not applied for or received ERC funds , please let me know if you ’ d like me to help you get in touch with this firm .
Loren Smith can be reached at lms @ blvcapital . com or www . bluevalleycapital . com .