Businesses / Chamber Profiles

Efforts support small businesses during COVID-19 crisis

The Federal Government is helping small businesses bridge this economic emergency by giving them the funds they need to keep their employees on their payroll and stay in business.

  • Providing $350 billion in forgivable loans for small businesses through the Paycheck Protection Program
  • Providing advances on SBA disaster loans that never have to be repaid
  • Forgiving existing non-disaster SBA loan payments over the next six months

Paycheck Protection Program (PPP)

PURPOSE:
The Paycheck Protection Program ensures that small businesses can continue to pay employees and cover costs during this unprecedented health crisis. For up to eight weeks, this program can be used to cover the entire cost of payroll and other eligible expenses.

WHO IS ELIGIBLE?
Small Businesses, Non-profits, Veterans Groups, and Tribal Groups with fewer than 500 employees. Businesses in certain industries can have more than 500 employees if they meet the SBA’s size standards for those industries.

LOAN DETAILS:

  • You can apply through your local bank.
  • Thousands of banks, credit unions, and other lenders will be available to make these loans, including lenders in your local area.
  • Loans of up to $10 million can be used to cover payroll, paid sick leave, insurance premiums, rent, utilities, and mortgage payments.
  • If you retain your full staff and payroll, all of your eligible expenses for up to eight weeks will be 100% forgiven.
  • You will need to complete the Paycheck Protection Program loan application form with the required documentation and submit the application to an approved lender that is available to process your application by June 30, 2020.
  • Details of which local bank you can contact to apply will be available in the coming days. Check back for more information.

Small Business Administration Loan Forgiveness

PURPOSE:
The CARES Act includes forgiveness of loan payments for most existing SBA loans. Once implemented, you will not have to make your next six months of loan payments.

WHO IS ELIGIBLE?
Small business owners participating in the 7(a), Community Advantage, 504, or microloan programs.

DETAILS:

  • No action is required to receive this benefit.
  • Payments due during this six month period will never have to be repaid.
  • This benefit can also apply to new borrowers.
  • If you are currently having difficulties meeting your obligations, contact your lender about deferring your next payment.

Other SBA Loan Options

PURPOSE:
Economic Injury Disaster Loans (EIDL) are already available in all fifty states, Washington D.C., and territories to help small business owners continue to operate during this pandemic.

WHO IS ELIGIBLE?
Small Businesses, Non-profits, Tribal Businesses, and Cooperatives.

DETAILS:

  • After applying, small businesses may be eligible for an up-front advance payment.
  • This up-front advance payment does not have to be repaid.
  • The full Economic Injury Disaster Loans are offered at a long-term, low-interest rate.
  • Visit www.sba.gov
  • WE WILL MAKE IT THROUGH THIS

Please the Zachary Chamber if you need more information and continually check our Website and FaceBook page for updates.

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