The Equipment Dealers Association sent a letter to the federal government asking for further explanations
By Diego Flammini
Part of the ag machinery sector is asking for clarification on how a coronavirus support program relates to equipment dealers.
The Equipment Dealers Association (EDA), which represents about 4,500 dealerships in agriculture and other sectors, has sent a letter to Marco Rubio, chairman of the U.S. Senate Committee on Small Business and Entrepreneurship, asking the committee to provide answers on how the Paycheck Protection Program (PPP) applies to EDA members.
Businesses like farm equipment dealers, who may have multiple locations under one Employer Identification Number, may not be eligible for the program.
These are the kinds of businesses that need the PPP the most, the EDA says.
“In the case of farm equipment franchises, most of these business concerns are in rural communities, have less than 30 employees per rooftop, are fighting the economic and safety challenges caused by COVID-19, and as other main street business, need to keep their employee base intact through this pandemic,” the April 16 letter reads.
“Plainly, these are the types of businesses that Congress intended to help and their eligibility for financial assistance should not be controlled by organizational structure,” the letter continues.
The EDA is keeping its members informed throughout the pandemic.
The association has hosted a series of webinars with industry partners to help its members find answers relating to operating a business during this unprecedented time.
The next webinar, “Returning to Work and Establishing a New Normal,” is scheduled for May 5.
Natalie Higgins, general counsel for the EDA, will lead the webinar which will include an overview of legal and practical considerations that equipment dealers must navigate going forward.
Farms.com has reached out to EDA for an update on its letter about the PPP.