Partner Michael Torosian and Senior Counsel William Stutts assisted the National Venture Capital Association (NVCA) with the comment letter to the Board of Governors of the Federal Reserve System to submit NVCA’s views on the recently-released Main Street Loan Facility (MSLF) proposal. The comment letter covers (1) the EBITDA test and minimum cash flow requirements for a business to be considered for an MSLF loan; (2) the scope of prohibitions on capital distributions; (3) availability of funding for companies addressing the COVID-19 virus and attendant medical challenges; (4) the nature of the limit on employee and executive compensation; (5) priority of existing loans; and (6) payment on other debt.
Click here to review the NVCA comment letter.
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