The U.S. Small Business Administration (SBA) has a few different loan programs and debt relief options in place through the Coronavirus Aid, Relief and Economic Security (CARES) Act. Congress originally passed the CARES Act allocating $350 billion to help small business, but there is likely to be extensive expansions to allocate $377 billion if needed.

The PHCP-PVF and other trade industries are considered essential businesses and will make it through this hard time by continuing to provide the country with necessary products, services and support. If you meet the SBA guidelines for a small business (a business of 500 employees or less), you have resources available to help get through this economic hardship. Find the resources available below.

Paycheck Protection Program – The Paycheck Protection Program is designed to provide an incentive for small businesses to keep employees and continue to pay them. To make this possible, SBA is forgiving Paycheck Protection loans if all employees are kept on payroll for eight weeks and the loan money is used for payroll, rent, mortgage interest or utilities. At least 75% of the loan must be used for payroll in order to be forgiven. Employers must maintain salary levels or forgiveness will be reduced.

The loan has a two year term with an interest rate of 1%. Lenders began processing these loans on April 3^rd and they are available through June 30^th, 2020.

Find the Paycheck Protection Program application here.

Visit the SBA page for more information on the Paycheck Protection Program here.

Economic Injury Disaster Loan Emergency Advance - The Economic Injury Disaster Loan supplies qualifying small businesses a loan advance up to $10,000 to provide economic relief through temporary loss of revenue. Funds are available just days after a successful application is completed and they do not have to be paid back.

Find the application for the Economic Injury Disaster Loan here.

SBA Debt Relief - The SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for a period of six months. The SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.

If you currently have a disaster loan that was in “regular servicing” status by March 1^st of this year, the SBA is offering deferments through December 31^st, 2020.

Find details on SBA debt relief here.

SBA Express Bridge Loans – If you are a small business and already have a relationship with an SBA Express Lender, you can access up to $25,000 quickly. This loan provides temporary relief to businesses in need due to loss of revenue. This program is helpful for a business that needs urgent access to cash while waiting for their Economic Injury Disaster Loan (details above). The express loan will be repaid either in part or in full from the Economic Injury Disaster Loan.

Find the application for the Express Bridge Loan here.

Find the SBA size standards and requirements here.