Locals: Funds Available to Help during the COVID-19 Economic Slowdown
U.S. Small Business Administration:
Our nation’s small businesses are facing an unprecedented economic disruption due to the Coronavirus (COVID-19) outbreak. On Friday, March 27, 2020, the President signed into law the CARES Act, which contains $376 billion in relief for American workers and small businesses. In addition to traditional SBA funding programs, the CARES Act established several new temporary programs to address the COVID-19 outbreak.
Paycheck Protection Program
This loan program provides loan forgiveness for retaining employees by temporarily expanding the traditional SBA 7(a) loan program. The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities. You can apply through any existing SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating. Learn more by clicking here: Paycheck Protection Program.
EIDL Loan Advance
This loan advance will provide up to $10,000 of economic relief to businesses that are currently experiencing temporary difficulties.
This program is for any small business with less than 500 employees (including sole proprietorships, independent contractors and self-employed persons), private non-profit organization or 501(c)(19) veterans organizations affected by COVID-19. Businesses in certain industries may have more than 500 employees if they meet the SBA’s size standards for those industries. This loan advance will not have to be repaid. More here: Economic Injury Disaster Loan.
The Express Bridge Loan Pilot Program allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 quickly.
As part of SBA’s debt relief efforts,
- The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months.
- The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Department of Economic Opportunity:
Small businesses are eligible to apply for the SBA Economic Injury Disaster Loans that offer up to $2 million in economic assistance to help small businesses overcome the temporary loss of revenue resulting from COVID-19.
Gov. DeSantis has activated the Florida Small Business Emergency Bridge Loan Program, managed by DEO, to provide short-term, interest-free loans to small businesses experiencing economic injury from COVID-19. The application period is open and runs through May 8, 2020. Interested businesses should visit www.FloridaDisaster.Biz for more information.
The Business Damage Assessment survey has been activated to assess the impact of COVID-19 on Florida’s local business operations. Take the survey at floridajobs.org.
For more information on filing for unemployment in Florida, click here: Florida Unemployment.
The online system has been overwhelmed with new claims and paper applications are also being accepted. Printing and shipping places such UPS stores should be able to assist you with printing them and sending them in.
The U.S. Coronavirus Aid, Relief and Economic Security (CARES) Act also provides for additional federal unemployment. Under the Federal Pandemic Unemployment Compensation (FPUC) program, eligible individuals who are collecting certain UI benefits, including regular unemployment compensation, will receive an additional $600 in federal benefits per week for weeks of unemployment ending on or before July 31, 2020. For more information, click here: Federal Pandemic Unemployment Compensation article.