Coronavirus Aid, Relief, and Economic Security (CARES) Act - U.S. Senate Committee on Small Business & Entrepreneurship
The programs and initiatives in the Coronavirus Aid, Relief, and Economic Security (CARES) Act that was just passed by Congress are intended to assist business owners with whatever needs they have right now. When implemented, there will be many new resources available for small businesses, as well as certain nonprofits and other employers. This guide provides information about the major programs and initiatives that will soon be available from the Small Business Administration (SBA) to address these needs, as well as some additional tax provisions that are outside the scope of SBA. To keep up to date on when these programs become available, please stay in contact with your local Small Business Administration (SBA) District Office:
Struggling to get started? The following questions might help point you in the right direction. Do you need:
- Capital to cover the cost of retaining employees? Then the Paycheck Protect Program might be right for you. Program is for businesses with 500 employees or less, including 501c(3) nonprofits, the self0employed, startups, and coopeeratives. This loan has a forgiveness component and requires keeping employees on the payroll.
- A quick infusion of a smaller amount of cash to cover you right now? You might want to look into an Emergency Economic Injury Grant.
- To ease your fears about keeping up with payments on your current or potential SBA loan? The Small Business Debt Relief Program could help.
- Express Bridge Loan. This pilot program allows SBA Express Lenders authority to deliver expedited SBA-guaranteed financing up to $25,000 on an emergency basis for disaster-related purposes to eligible small businesses.
- Just some quality, free counseling to help you navigate this uncertain economic time? The resource partners might be your best bet. These include CWE Centers. Please click on the link below to schedule a meeting or find contact information for CWE Centers.:
U.S. Small Business Administration (SBA) Disaster Assistance in Response to the Coronavirus
The U.S. Small Business Administration is offering designated states and territories low-interest federal disaster loans for working capital to small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19). Upon a request received from a state’s or territory’s Governor, SBA will issue under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, an Economic Injury Disaster Loan declaration. In order to qualify business must prove that the trouble is related to COVID-19 ( i.e. not related to pre-existing sales issues); prove repayment ability and credit; ineligible agriculture, religious organizations, gambling, charities).
Contract (1099) workers may qualify as sole proprietors for the SBA Economic Injury Disaster Loans. For details and application please see the links below. If you have registered with your state to file as a S corporation, LLP or as an LLC, you should have an EIN associated with the office/studio/home that you registered, and can apply like any other business.
Update March 26: The Disaster Loan site has received some updates and it may be necessary for you to clear your cache in whichever browser you are using prior to trying to access it.
The only 2 ways to submit an application at this time is either by going to the website, https://disasterloan.sba.gov/ela/, clicking on "Apply Online" where you will see the forms you need to download listed. These forms are fillable PDFS. Once completed the forms will need to be uploaded into the Box immediately beneath the list of forms. This is a cloud based approach, there is no online portal at this time.
The other way to submit the forms is to print them and send them to the address provided on page 1 of SBA Form 5 in Fort Worth, TX. There is no ability to email an application at this time.
SBA Disaster Assistance Loan Fact Sheet
SBA Disaster Assistance Loan Information - Webinar Slides
Click here to view qualifications and areas eligible for the disaster loans.
Facebook Small Business Grants Program
Facebook is offering $100M in cash grants and ad credits for up to 30,000 eligible businesses in over 30 countries where they operate. Facebook will share more details as they become available. Click here if you are interested in learning more.
Loan - Kiva
Kiva lenders provide financial assistance to all by making 0% interest loans to entrepreneurs in the U.S. In today's difficult circumstances, K9iva would like to make it as easy and impactful as possible for small businesses in the U.S. to have access to affordable capital on the Kiva platform - capital that may be the difference between shutting down and keeping their doors open.
- 0% interest
- Up to $15,000 loan
- Grace period of up to 6 months
COVID-19 Business Resource Center - Hello Alice
Updated daily, with real-world funding, resources, and support for small business owners adapting to the impacts of the coronavirus. Hello Alice is offering $10,000 grants being distributed immediately to small business owners impacted by coronavirus, as part of their broader mission to ensure Business for All. In addition to funding, grant recipients will receive ongoing support from the Hello Alice community. Click here for resource and more information.
Supporting Small Businesses and Nonprofit Partners - JPMorgan Chase & Co.
JPMorgan Chase Institute research shows that 50 percent of small businesses have less than 15 cash buffer days, meaning the small business economy could be majorly disrupted by the current climate. The firm will promptly deploy $8 million, including $5 million in the U.S. and $3 million in international markets to support vulnerable and underserved small businesses in the following ways:
- Entrepreneurs of Color Fund and Ascend in places such as Seattle, California and New York. Support will include working with local Community Development Financial Institutions that will provide low or zero interest loans and interest rate buydowns to help offset the costs of business slow-downs and unexpected challenges, as well as technical assistance support for issues like remote working capabilities;
- Supporting vulnerable, underserved and underrepresented entrepreneurs and small businesses across Europe and China to navigate and access available and emerging financial and non-financial support.
The firm will also provide $2 million to existing nonprofit partners who are facing new challenges supporting vulnerable populations in response to COVID-19. The funds will go towards helping these partners maintain operational capacity as they adjust their programming and provide resources to support their remote working capabilities, resiliency planning, fundraising and communications. Click here for more information
Verizon Small Business Recover Fund - Verizon and LISC
A trailblazing investment of $2.5 million from Verizon is making it possible for LISC to begin offering critical relief and resiliency-building support to small businesses facing immediate financial threat because of the COVID-19 pandemic. The funding will go to make grants of up to $10,000, especially to entrepreneurs of color, women-owned businesses and other enterprises in historically under-served places who do not have access to flexible, affordable capital. Verizon will highlight and bolster these efforts through their inaugural “Pay It Forward Live” online concert series. For more information please click here. Sign up for updates about the Verizon Small Business Recovery Fund, click here.
Coronavirus Tax Relief – Internal Revenue Service
The IRS has established a special section focused on steps to help taxpayers, businesses and others affected by the coronavirus. The page will be updated as new information is available. The information contained on this site includes:
- Dollar for dollar reimbursement for Coronavirus related sick leave costs
- Employers will be able to use cash deposited with the IRS to pay sick leave wages
- Businesses that would not have sufficient taxes to draw from, Treasury will use its regulatory authority to make advance to small businesses to cover such costs
For more information please click here.
Disaster Unemployment Assistance – U.S. Department of Labor
The Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1974, as amended, authorizes the President to provide benefit assistance to individuals unemployed as a direct result of a major disaster. The U.S. Department of Labor oversees the DUA program and coordinates with the Federal Emergency Management Agency (FEMA), to provide the funds to the state UI agencies for payment of DUA benefits and payment of state administration costs under agreements with the Secretary of Labor.Read more.
Work Share Programs - National Conference of State Legislatures
Workshare programs let businesses temporarily reduce the hours of their employees, instead of laying them off during economic downturns. Technically referred to as short time compensation, the goal of worksharing programs is to reduce unemployment.
Worksharing should not be confused with job sharing, which allows two part-time employees to share one full-time job. Instead, worksharing allows a full-time worker's hours to be reduced, in lieu of laying off the worker.
Workshare programs benefit businesses, workers and states. Businesses retain their trained workforce, for easy recall to full-time work when economic conditions improve. Workers keep their jobs instead of being laid off, and collect reduced unemployment benefits to partially replace their lost wages. States save money by paying only partial unemployment claims, instead of paying full benefits to laid-off workers.
Under approved workshare programs, employees qualify for a percentage of unemployment benefits, equal to the percentage by which their hours have been reduced. For example, an employee whose hours are cut by 10 percent would qualify for 10 percent of the state’s established weekly unemployment benefit amount. While that does not fully replace the lost wages, the amount supplements a worker’s income until they are recalled to full-time work. Click here for more information or the specific State below.
Coronavirus - Interim Guidance for Businesses and Employers - Center for Disease Controls (CDC)
The interim guidance is based on what is currently know about the coronovirus diesease 2019 (COVID-19). The Centers for Disease control and Prevention (CDC) idates the interim guidance as needed and as additional information becomes available. Click here for information
COVID-19 Relief Program - Accion Serving the East Coast
Accion has launched its COVID-19 Relief Program with the aim of helping over 2,000 small business owners withstand and recover from the COVID-19 pandemic, preserving critical jobs and livelihoods. the COVID-19 Relief program offers to clients of Accion: loan deferment or loan restructures to 1,500 eligible clients; one-on-one support to small business owners to access publicly sourced disaster relif funds at the city, state and federal level in each of Accion's core markets; and the COVID-19 Relief Loan to 500 small business owners who are not a fit for the public relief programs. To learn more please click here.
Microsoft Free Offerings
Microsoft is providing six months of Office 365 tools for free to enable remote collaboration, file sharing and video conferencing. They're also offering free assistance to set up these tools. Click the following links for more information about these free services:
Covid-19 Resources for Women-Owned Businesses - WBENC
As a leading advocate for women business owners and entrepreneurs, WBENC is committed to helping our constituents address and respond to the impacts caused by the coronavirus (COVID-19). As we work with national and regional partners, Corporate and Government Members, and other industry leaders, we will continue to update this page with resources, information, webinars and more to address the many questions and uncertainties many business owners and corporations face, as well as to continue to help fuel business opportunities for women entrepreneurs. Click here for more information
Resources from WBENC-Certified WBEs
Certified Diverse Businesses
The Supplier Diversity Small & Diverse Business Scholarship Program
The Supplier Diversity Small & Diverse Business Scholarship Program has been established by Bank of America, N.A. and is funded through the generosity of Bank of America's vendors. The program provides targeted training and development support to qualified certified diverse business owners or to an employee that holds a key position in the diverse business owner's company and has been designated on the application by the diverse business owner. Scholarship recipients will be given the opportunity to continue their education and enhance the business operations functions within their companies by attending executive business management programs. Click here for more information.
Veterans - New England
Coronavirus (COVID-19) Resources - New England Veterans Chamber of Commerce (NEVCC)
If you are a veteran or military business owner in new England, please let the NEVCC know if you need assistance. Click here for a list of resources and information.
Code of Support PATRIOTlink - US Department of Veterans Affairs
Code of Support’s PATRIOTlink® platform is a free online resource database that includes thousands of programs tailored to the military and Veteran community.
Through PATRIOTlink, users can search vetted, direct, cost-free services specific to their needs. PATRIOTlink was recently redesigned to make it even easier to use. Now, users can complete searches by entering less information and they can view events and job opportunities in their area through a news feed feature. Click here for more information.