Discover PPP and More to Assist your Business
You probably know by now that...
The Paycheck Protection Program (PPP) is designed to support American small businesses with immediate cash support during the COVID-19 pandemic.
But what you may not know...
is that there are 5 or more other programs you should be looking at!
If you are a Business owner, sole proprietor, an independent contractor, or a gig worker, here’s what you need to know, and what you’ll need to apply.
Here is the list of COVID-19 Relief Resources:
Short term relief programs:
- PPP for Small Business and for Self Employed. This is the Free money loan if you calculate and report properly.
Terms: 5 years with 7-8% interest
- SBA Express Pilot loan - Receive up to $25,000 fast. 50% government backed and can be rolled over into your EIDL. This is fast access if you have no collateral but have good credit. Terms: 5 years with 7-8% interest
- EIDL $10,000 Cash Advance Loan, forgivable if you have no means to pay it back. This is a cash advance on an EIDL, emergency disaster loan. That is projected to be deposited in your bank account mid-to late April. You can take out more money in the loan and the first $10K is forgivable if you show the inability to pay it back
- EIDL Disaster Loans - This is a SBA loan that requires proof that you can pay it back using traditional debt service schedule. Terms: 30 years with 3.75%
- Private company and association grants - the country and industry are coming together to offer cash grants with easy applications. Time and quickness are what you need. Most common Grants are in increments of $10,000
Long term security and peace of mind:
- State and Municipal Loans and Grants - these capital access programs with favorable rates will have more flexibility to use funds for more than payroll. Terms vary from 2 points below bank rate up to 4%
- Tax Credits - job creation and retention tax credits offer cash flow relief
- Training Grants - easy to set up and quick to pay back or save money
- Local municipal incentives like property tax abatements
Facts you should know about applying for PPP
FACT: Small businesses take advantage of less than 20% of the available government incentive programs, while large corporations and enterprises capitalize on the remaining 80%.
Many Government incentives programs are available to growth-stage, small to mid-sized companies including, but are not limited to:
Sometimes referred to as free money, these programs offer ways for businesses to align their strategies and growth to meet and even exceed their goals. The ways that incentives impact a business depends on the vision, industry and speed of growth, but here are some ways ENJEN clients have been able to use incentives: