Federal Loans and Grants
The following questions can help point you towards resources to help your small business. Do you need:
- A quick infusion of a smaller amount of cash to cover you right now? You might want to look into an Economic Injury Disaster Loan (EIDL) or Emergency Economic Injury Grant. These grants provide an emergency advance of up to $10,000 to small businesses and private non-profits harmed by COVID-19 within three days of applying for an SBA Economic Injury Disaster Loan (EIDL). To access the advance, you first apply for an EIDL and then request the advance. The advance does not need to be repaid under any circumstance, 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. Click here to learn more and to apply.
- Capital to cover the cost of retaining employees? Then the Paycheck Protection Program might be right for you. The stimulus includes nearly $350 billion in funding for a provision to create a Paycheck Protection Program (PPP) that will provide small businesses and other entities with zero-fee loans of up to $10 million. Under this program, up to 8 weeks of average payroll and other costs will be forgiven if the business retains its employees and their salary levels.
- To ease your fears about keeping up with payments on your current or potential SBA loan? The Small Business Debt Relief Program could help. Under this provision, the SBA will cover all payments for standard SBA 7(a), 504 (or microloans) for existing SBA borrowers, including principal, interest, and fees, for six months. This relief will also be available to new borrowers who take out an SBA loan within six months after the president signs the bill.
Where to find more information and apply for financial assistance:
- You can learn if your business meets the SBA’s small business size standards here.
- Small businesses and private non-profit organizations can apply directly to the SBA for financial assistance here.
- You can find an SBA-approved lender in Vermont here.
- To keep up to date on when programs become available, please stay in contact with the Vermont Small Business Administration (SBA) District Office, which you can locate here.
- To be connected with a business counselor who can help you manage through this challenging time, you can turn to the Vermont Small Business Development Center (VtSBDC), CWE-Vermont Women’s Business Center (WBC), or SCORE mentorship chapter.