As the economic impact of the coronavirus pandemic starts to affect entrepreneurs and small businesses in California, Downtown Works in conjunction with Business Workspaces, have created a compilation of local and federal aid available to our members to help them weather this emergency successfully. These are just a couple of COVID-19 resources that may be available to you.
U.S. Small Business Administration (SBA)
This government agency provides support to entrepreneurs and small businesses. They summarize their activities as the “3 C’s” of Capital, Contracts, and Counseling.
As an entrepreneur or small business owner, you might want to look into their Disaster Loan Programs, which have been updated to reflect the latest developments with regards to the Coronavirus Pandemic and the impact it already has had on the economy.
Through their Economic Injury Disaster Loan Program, every small business owner is eligible to apply for a low-interest loan due to Coronavirus (COVID-19) of up to $2 million in working capital.
The SBA also has several loan resources available, including express loans, microloans, exporting loans, and many more.
Head to the SBA’s website for more information.
Small Business Payroll Protection Program
The Paycheck Protection Program provides small businesses with funds to pay up to 8 weeks of payroll costs including benefits. Funds can also be used to pay interest on mortgages, rent, and utilities. Applications open April 3, 2020. 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. Other regulated lenders will be available to make these loans once they are approved and enrolled in the program. You should consult with your local lender as to whether it is participating. All loans will have the same terms regardless of lender or borrower. A list of participating lenders as well as additional information and full terms can be found at www.sba.gov.
Check out this document from the Treasury Department for more information.
Facebook Small Business Grants Program
Facebook is also offering financial support to small businesses in the form of cash grants and ad credits for up to 30,000 eligible businesses worldwide. They will be taking in applications in the next few weeks and you can sign up to receive more information as it becomes available.
Check out their website here.
Coronavirus Aid, Relief, and Economic Security Act or the CARES Act
Signed into law on March 27th, 2020, this bill addresses the economic impacts of, and otherwise responds to, the COVID-19 (coronavirus) outbreak. The bill authorizes emergency loans to distressed businesses. The bill also provides funding for $1,200 tax rebates to individuals, with an additional $500 payments per qualifying child. The rebate begins phasing out when incomes exceed $75,000 (or $150,000 for joint filers). The bill establishes limits on requirements for employers to provide paid leave.
Work Sharing Program
The Employment Development Department of California has a work-sharing program that employers can apply to if their production, services or other conditions are negatively impacted by any emergency. This helps employers minimize their need for layoffs and also helps employees receive unemployment insurance benefits when their hours are reduced.
You can find more information on their website.
Small Business Development Center California
The Small Business Development Center in California has launched a website dedicated to helping small businesses navigate the coronavirus pandemic. In it, business owners can find online webinars and guides, as well as a list of federal and state agencies that offer their support. They can also help you apply for financial support.
Disaster Help Desk for Business
The U.S. Chamber of Commerce Foundation has a help desk available to assist you and your business in any stage of a disaster. The idea is to work with you towards charting a course that will improve your business’s chance of surviving this emergency.
You can contact them through their form here.