Resources
We will continue to update this site as new resources become available
Small Business Resources
Federal and state governments and other organizations have acted quickly in creating programs to aid small and mid-sized businesses and minimize the economic impact of the Coronavirus (COVID-19) pandemic. You are encouraged to research these programs to determine which might be of assistance to your business.
The SBA can provide loans of up to $2M to be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses.
LINK: U.S. Small Business Administration (SBA) Coronavirus Assistance Options
SBA’s Disaster Assistance Customer Service Center
If you have any additional questions, please feel free to reach back out to the Customer Service Center at (800) 659-2955. Individuals who are deaf or hard of hearing may call (800) 877-8339.
CARES Act
Paycheck Protection Program
On March 27, the CARES Act was signed into law, providing $2 trillion in emergency assistance for individuals, families and businesses affected by the pandemic. Included is the Paycheck Protection Program, administered through the SBA, providing up to $349 billion in loans to eligible businesses with less than 500 employees. Maximum loan amount is $10 million at an interest rate no higher than 4%. Funds may be used for a variety of purposes including payroll costs, rent, utilities, mortgage interest, and interest on existing debt. The loans will not require collateral and can be subject to forgiveness.
LINK: Paycheck Protection Info Sheet
LINK: Economic Injury Disaster Loan (INFO SHEET)
LINK: EMPLOYEE RETENTION TAX CREDIT
Economic Injury Disaster Loans & Emergency Economic Injury Grants
These grants provide an emergency advance of up to $10,000 to small businesses and private non-profits harmed by COVID-19 within three days of applying for an SBA Economic Injury Disaster Loan (EIDL). To access the advance, you first apply for an EIDL and then request the advance. The advance does not need to be repaid under any circumstance, and may be used to keep employees on payroll, to pay for sick leave, meet increased production costs due to supply chain disruptions, or pay business obligations, including debts, rent and mortgage payments.
LINK: Application for EIDL
Employee Retention Credit for Employers Subject to Closure or Experiencing Economic Hardship
This provision would provide a refundable payroll tax credit for 50 percent of wages paid by eligible employers to certain employees during the COVID-19 crisis. The credit is available to employers, including non-profits, whose operations have been fully or partially suspended as a result of a government order limiting commerce, travel or group meetings. The credit is also provided to employers who have experienced a greater than 50 percent reduction in quarterly receipts, measured on a year-over-year basis.
Wages of employees who are furloughed or face reduced hours as a result of their employer’s closure or economic hardship are eligible for the credit. For employers with 100 or fewer full- time employees, all employee wages are eligible, regardless of whether an employee is furloughed. The credit is provided for wages and compensation, including health benefits, and is provided for the first $10,000 in wages and compensation paid by the employer to an eligible employee. Wages do not include those taken into account for purposes of the payroll credits for required paid sick leave or required paid family leave, nor for wages taken into account for the employer credit for paid family and medical leave (IRC sec. 45S).
The credit is not available to employers receiving assistance through the Paycheck Protection Program. The credit is provided through December 31, 2020.
LINK: FAQ about The Cares Act
Small Business Debt Relief Program
This program will provide immediate relief to small businesses with non-disaster SBA loans, in particular 7(a), 504, and microloans. Under it, SBA will cover all loan payments on these SBA loans, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out loans within six months of the President signing the bill into law.
Maryland Relief Options
MD COVID-19 Relief Options for Small Businesses
The $75-million Maryland Small Business COVID-19 Emergency Relief Loan Fund offers loans up to $50,000 with no interest or principal payments due for the first 12 months, then converting to a 36-month term loan of principal and interest payments, with an interest rate at 2% per annum.
The Maryland Small Business COVID-19 Emergency Relief Grant Fund is a $50 million grant program for businesses and non-profits offering grant amounts up to $10,000, not to exceed 3 months of demonstrated cash operating expenses for the first quarter of 2020.
LINK: MD Summary of all federal and state options and breakdown of stay at home order
Counseling & Training
If you, like many small business owners, need a business counselor to help guide you through this uncertain time, you can turn to your local Small Business Development Center (SBDC), Women’s Business Center (WBC), or SCORE mentorship chapter. These resource partners, and the associations that represent them, will receive additional funds to expand their reach and better support small business owners with counseling and up-to-date information regarding COVID-19. To find a local resource partner, visit https://www.sba.gov/local-assistance/find/.
In addition, the Minority Business Development Agency’s Business Centers (MBDCs), which cater to minority business enterprises of all sizes, will also receive funding to hire staff and provide programming to help their clients respond to COVID-19. Not every state has a MBDC.
Webinar
LINK: From the SBDC Baltimore Chapter