District News
COVID-19 Loan & Grant Info for Businesses & NFPs
Apr 6, 2020
Applications for the NYC Employee Retention Grant Program closed on Friday, April 3; however, NYC SBS's Small Business Continuity Loan program will continue to accept applications. In addition to these programs, the U.S. Small Business Administration (SBA) is providing financial resources to small businesses and non-profits affected by the COVID-19 crisis. These programs, outlined below, are designed to cover operating costs amid lost revenue and to retain employees. For answers to individual questions or for assistance applying to these programs, visit the SBA website or call the 24/7 SBA Disaster Assistance line at 800-659-2955. While we have conducted an extensive review of these programs and sought to provide the most up-to-date information, due to the ever-changing nature of the COVID-19 outbreak and the government's response, please check the SBA website for the most up-to-date information regarding financial support for small businesses and non-profits affected by COVID-19.
All businesses who have already applied for the Economic Injury Disaster Loan must reapply on SBA’s streamlined web portal, available here.
SBA Economic Injury Disaster Loan and Loan Advance-Open Now!
Who is eligible? Businesses, including sole proprietors, independent contractors and self-employed persons, and private 501(c)(3) non-profits with fewer than 500 employees are eligible to apply.
How much can I borrow? The loans are available for up to $2 million in operating capital with a 30-year payment period at interest rates of 3.75% for businesses and 2.75% for non-profits. The loan amount is determined based on your monthly average operating costs for the prior 12 months and is designed to cover payroll, utilities, and other operating costs. Loan payments are deferred for up to 12 months.
Cash advances on that loan of up to $10,000 will be made available within three days of successful application via direct deposit or check, regardless of whether a loan application is approved. The advance will not have to be repaid.
How can I apply? Apply directly through SBA here.
Paycheck Protection Program-Anticipated to begin Friday, April 3, 2020
Who is eligible? Businesses, including sole proprietors, independent contractors and self-employed persons, and private 501(c)(3) non-profits with fewer than 500 employees are eligible to apply.
How much can I borrow? Loan amounts will be approximately 2.25 times your monthly average payroll costs up to $10 million and payments will be deferred for up to six months. After eight weeks, if you can show that you have kept your employees on payroll during that time and maintained their salary levels, a portion of this loan may be forgiven.
How can I apply? This loan program is available through financial lending institutions. To apply for a loan, contact your bank and ask for a loan through the Paycheck Protection Program. For more information on the program, click here.
How do I become an SBA Lender? For more information on how to become an SBA lender, visit the Become an SBA Lender website.
Eligible businesses and non-profits can apply for both programs. If you need assistance in applying for SBA programs, please contact the SBA Disaster Assistance line at 800-659-2955. The line is open 24/7 and is staffed with underwriters who can answer individual questions and assist you in applying for these programs.
For additional financial resources, see our guide of Information for Businesses affected by COVID-19.