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Does client semi-private club, qualify for Cares Act? Client's bank denied loan request. Cares Act Sec. 1102.7(a) says that non-profit org do qualify. Bank error?

Level 1
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Level 15

From the SBA FAQs:

Similarly, PPP loans are also available for qualifying tax-exempt nonprofit organizations described in section 501(c)(3) of the Internal Revenue Code (IRC), tax-exempt veterans organization described in section 501(c)(19) of the IRC, and Tribal business concerns described in section 31(b)(2)(C) of the Small Business Act.


Does this "semi-private" club fit in the above catagories?

Former Chump..oops..AllStar...I used to be a people person, then people ruined it

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Level 15

Semi-private doesn't sound very inviting to the rest of the world.  If they want to remain semi-private, they should maybe pass the hat around to its semi-private members.  

ACME Taxes, Tatoos, Tires and Tomatoes (I had to get rid of the turtles - they kept running away)
Level 14

(b) ELIGIBLE ENTITIES.—During the covered period, in addition to small business concerns, private nonprofit organizations, and small agricultural cooperatives, an eligible entity shall be eligible for a loan made under section 7(b)(2) of the Small Business Act (15 U.S.C.636(b)(2)).

Does that include the Elks Club  and Moose Lodge?  I have no idea, but I  wouldn't trust the SBA to figure it out either.  

This is from the Moose International website:

Many of our lodges fall within the guidelines to receive financial assistance through the Economic Injury Disaster Loans (EIDL) program, and in some cases, it may be worth checking with your local financial institution whether the Paycheck Protection Program applies to your lodge.  Please click here for additional information and recommendations from Moose International’s Legal Department.


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