Financial Resources for Businesses

by Lauren , 30 Mar 2020

Following is a list of important financial resources that are available for small businesses in need of extra support at this time.

Economic Injury Disaster Loan (EIDL) Program from the SBA

  • These low-interest loans are available for Massachusetts businesses affected by novel coronavirus. Applicants can use these funds to pay for expenses that could have been met had the coronavirus disaster not occurred, including payroll and operating expenses.
  • Eligibility: Businesses with under 500 employees, sole proprietors, independent contractors, cooperatives and employee-owned businesses, tribal small businesses, and most private nonprofits of any size.
  • Applicants can also request an emergency advance as part of their application for an EIDL. This advance, up to $10,000, can be available within three days, does not need to be repaid, 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.
  • See more information about the SBA's offerings to businesses here.
  • These loans will be available through approved lenders - check in with your bank to get the process started. A portion of this loan can be forgiven.
  • Eligibility: Small businesses (under 500 employees), nonprofits, sole proprietors, independent contractors, self-employed persons, and tribal businesses are able to apply.
  • There is no personal guarantee, collateral, or proof that applicants were unable to access credit elsewhere in order to apply.
  • Applicants can borrow up to 2.5x the average monthly payroll costs, not to exceed $10M.
  • Borrowers can also have their loan forgiven equal to the amount the borrower spent on payroll, interest on mortgages, rent, payments on utilities, and extra wages to tipped employees in addition in the eight week period following the loan origination. This is altered based on whether there is a reduction of employees, more details available here.
  • You can review the application your bank will likely have you fill out here.
  • Are you a self-employed or independent contractor? The SBA shared additional guidance in this document.

Non-Governmental Resources
Please exercise appropriate caution when dealing with private company or grassroots initiatives.
  • Black Business Relief Fund: $5,000 grants to eligible businesses. Must register as an applicant by April 15 and attend a call on April 19, 2020 at 4pm to be eligible.
  • Facebook Small Business Grants Program: Facebook is offering $100M in cash grants and ad credits for up to 30,000 eligible small businesses in over 30 countries where we operate.
  • Hello Alice: Compiling additional funding sources daily.
  • Loans: Kiva has altered their eligibility to support American businesses copign with coronavirus.
  • Restaurant Strong Program: The Greg Hill Foundation has teamed up with Samuel Adams* to support those from the Massachusetts restaurant industry who have been impacted by the Covid-19 closures.
  • LISC Small Business Grant: Thanks to support from funders like Verizon and Sam's Club, LISC is providing grants to small businesses, to help them keep functioning and remain vital facets of their local economies through this challenging period. Applications for this round are due tomorrow, May 20 by midnight.
  • $1,000 Grants for Minority- and Women-Owned Businesses: Lawyers for Civil Rights (LCR) and Tufts Health Plan are collaborating to provide support to struggling minority and women-owned small businesses located in communities that are particularly hard-hit by the coronavirus pandemic. Eligible small businesses affected by the coronavirus can apply for $1000 to purchase personal protective equipment (PPE), technology allowing their employees to work safely remotely, and other health and wellness-related support to help their reopening.
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