Resources Available to Small Businesses – COVID-19
Federal Funding Available:
- PPP – The Payroll Protection Program “PPP” is no longer available. A new program may be introduced but it has not been yet. Check back as we will advise if/when it becomes availale.
- EIDL – Disaster loans are available through the SBA and New York has been declared a Disaster Zone. The New York code for the Disaster is NY0017. This link is to an application that also shows what is required: https://covid19relief.sba.gov/#/. The SBA has discontinued the Advance portion of this but not the loan. Loans made will be 3.75% interest and are to be used for expenses.
Below is a comparison of PPP and EIDL:
Paycheck Protection Program Full EIDL Loan
|PURPOSE||Forgivable if used for payroll (minimum of 60% of the funds received) and the remaining for certain operating expenses (amount of any EIDL advance is not forgivable)||To meet financial obligations and operating expenses that could have been met had the disaster not occurred.|
|TERMS||Up to $10 million
1% interest rate
|Up to $2 million
3.75% for businesses
2.75% for non-profits
|MATURITY||2 years before June 5, 5 years after June 5.||30 years|
|FIRST PAYMENT DUE||Deferred 6 months||Deferred 1 year|
SBA Express Disaster Bridge Loan This program enables small businesses to apply for financing of up to $25,000 from SBA Express Lenders while they wait for decision and disbursement of an Economic Injury Disaster Loan (EIDL). SBA-guaranteed loans through this program will serve as invaluable bridge financing, and be repaid in full or in part by proceeds from the EIDL loan. To be eligible, businesses must have had an operating venture as of 3/13/20. Contact your small business lender directly regarding this program, or go to the Express Bridge Disaster Loan guide for more details
SBA Debt Relief– available to current and new borrowers (disaster, 7a, 504, microloans)New York StateNew York Forward Loan. Available to businesses that have not received PPP or an EIDL loan. People receiving an advance only are okay. Businesses must have 20 or fewer employees and have revenue of less than $3 million per year. This Provides Working Capital up to $100,000 to small businesses, nonprofits and Small Landlords that suffered a direct hardship due to Covid-19. Applications are accepted upon the opening of the Phase the business is in. You can apply from this page https://esd.ny.gov/nyforwardloans-info
Note: The New York Forward Loan now accepts applicants who received PPP of less than $50,000.
Other Financial Grants:
KIVA – https://www.kiva.org/borrow
- Hennessey Corp through the Asian American Business Development Center.