Business conditions are changing every day.
Almost all of those listening today are under some sort of declared public health emergency, shelter at home order, or even a quarantine situation. As we continue to deal with the pandemic, we are also getting a greater understanding of its effects on business and the economy.
This week, let’s take a look at a couple of the resources available for small businesses – those employing under 500 people.
Small business owners are eligible to apply for an Economic Injury Disaster Loan and an advance of up to $10,000. The SBA’s Economic Injury Disaster Loan program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing. Funds will be made available within three days of a successful application the $10,000 loan advance will not have to be repaid.
The Paycheck Protection Program under the CARES Act prioritizes millions of Americans employed by small businesses.
Under this program:
- Eligible recipients may qualify for a loan up to $10 million determined by prior average payroll.
- Loan payments will be deferred for six months.
- If you maintain your workforce, SBA will forgive the portion of the loan proceeds that are used to cover
The first 8 weeks of payroll and certain other expenses following loan origination. To determine what’s best for you, consult your banker or your CPA. Also visit www.capechamber.com for a full list of resources.
