Providing Assitance for Small Businesses

April 5, 2020

The US Small Business Administration (SBA), through provisions in the CARES Act, is providing support for small businesses affected by COVID-19. Relief is available to small businesses – those with less than 500 employees (including sole proprietorships, independent contractors and self-employed individuals), eligible nonprofit organizations, veterans organizations and tribal businesses described in the Small Business Act – through the programs listed below.

Following our SBA Loans webinar we compiled an FAQ document to help clients navigate the available options.

Paycheck Protection Program (PPP)

  • A loan designed to provide a direct incentive for small businesses to keep their workers on the payroll.
  • SBA will potentially forgive loans, if you meet the qualifications. 
  • Apply through any existing SBA 7(a) lender or through any participating federally insured depository institution, federally insured credit union, and Farm Credit System institution.
  • Access the PPP borrower application form here.

Economic Injury Disaster Loan (EIDL) Program

  • A loan advance of up to $10,000 to provide economic relief for loss of revenue.
    • This loan advance will not have to be repaid.
    • You must apply for the advance at the end of the EIDL application process.
  • EIDL program loans are up to $2 million with terms up to 30 years and interest rates of 3.75% for small businesses and 2.75% for non-profits.

SBA Express Bridge Loans

  • Allows small businesses with a current business relationship with an SBA Express Lender to access up to $25,000 quickly.
  • Loans can provide economic support for lost revenue and can be term loans or used to bridge the gap while applying for a direct SBA EIDL (see above).
  • Small businesses that have an urgent need for cash while waiting for decision and disbursement on an EIDL may qualify for an SBA Express Disaster Bridge Loan.
  • Express bridge loans will be repaid in full or in part with proceeds from an EIDL.
  • Access application process information here.
You May Also Like Related Articles
Not Sure How To Get Started?

We’re Here For You

Our advisors will help you protect your income and those closest to you with the right combination of coverage and affordability.

Get Matched with an Advisor
img description