In addition to traditional SBA funding programs, the CARES Act established several new temporary programs in response to COVID-19. These programs include:
- The Paycheck Protection Program (PPP)
- The Economic Injury Disaster Loan Advance (EIDL)
- The SBA Express Bridge Loans
- The SBA Debt Relief
PPP (Paycheck Protection Program)
Check out our full guide here: https://help.brasstaxes.com/help/ppp-paycheck-protection-program-for-freelancers
EIDL (Economic Injury Disaster Loan Advance)
The EIDL is an advance for up to $10,000 to help small businesses that are currently experiencing a temporary loss of revenue due to COVID-19.This program is designed for small businesses with 500 employees or less (including independent contractors, sole-proprietors, and self-employed people). This loan advance will not have to be repaid.
Eligible recipients include:
- Small businesses with less than 500 employees (including sole proprietorships, independent contractors and self-employed persons)
- Private non-profit organization or 501(c)(19) veterans organizations affected by COVID-19.
You can apply for EIDL here
SBA Express Bridge Loan
SBA Express Bridge Loan allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 quickly. This program allows SBA Express Lenders to provide expedited SBA-guaranteed bridge loan financing on an emergency basis in amounts up to $25,000 for disaster-related purposes to small businesses while those small businesses apply for and await long-term financing (including through SBA’s direct Disaster Loan Program, if eligible). If a small business has an urgent need for cash while waiting for decision and disbursement on an Economic Injury Disaster Loan, they may qualify for an SBA Express Disaster Bridge Loan.
Eligible recipients must:
- Have a business relationship with an SBA Express Lender
- Use the funds to support the survival and/or reopening of the small business
Contact your SBA Lender to apply.