By Chip Phillips on May 11, 2020
Tags: COVID-19 Resources
With the variety of existing and new programs available to small businesses during this pandemic, it can be challenging to find out which options your company is eligible for.
Here are some of the qualification criteria and resources for a number of programs:
This program builds on top of the existing U.S. Small Business Administration (SBA) loan program and provides forgivable loans to companies to keep employees on payroll.
Businesses impacted by coronavirus may be eligible if:
More details on the program can be found at the U.S. Small Business Administration website.
As of May 6, 2020, SBA will begin accepting new Economic Injury Disaster Loan (EIDL) and EIDL Advance applications on a limited basis only to provide relief to U.S. agricultural businesses.
The new eligibility is made possible as a result of the latest round of funds appropriated by Congress in response to the COVID-19 pandemic:
This program automatically covers all loan payments to borrowers participating in certain SBA programs (7(a), 504, and Microloans in regular servicing status and those disbursed prior to September 27, 2020; PPP loans and disaster loans are not included in this program).
You can still apply for the qualifying programs:
In general, businesses must meet size standards, be based in the U.S., be able to repay, and have a sound business purpose to be eligible. To check whether your business is considered small, you will need your business’s 6-digit North American Industry Classification System (NAICS) code and 3-year average annual revenue. Each program has different requirements, click here for more details.
The Main Street Lending Program is a new funding source from the Federal Reserve designed to allow banks to distribute loans more freely.
Main Street is open to businesses with fewer than 15,000 employees or revenue of less than $5 billion.
In addition to the eligibility details shared on program websites, small business owners can reach out to their local Small Business Development Center (SBDC), Women’s Business Center (WBC), or SCORE mentorship chapter.
Counseling is free through these business partners, and training is provided at a low cost. Find your local resource partner.