Financial Resources for Businesses Impacted By COVID-19

This article on employer financial resources was last updated on March 25. We also have a running list of financial resources for workers impacted by COVID-19. The COVID-19 outbreak continues to prompt many people to follow unprecedented social distancing recommendations. While this is the right thing to do to combat the virus, social distancing poses a serious threat to small businesses who rely on customers visiting their brick-and-mortar locations to stay afloat. The final version of the Families First Coronavirus Response Act was signed into law on March 18 and goes into effect on April 2, 2020. The law focuses on paid sick leave and expanded FMLA provisions, including:

• Emergency paid sick leave: Full-time employees of employers with fewer than 500 employees that are unable to work due to COVID-19 are eligible for 80 hours of emergency paid sick leave. Part-time employees are eligible to receive the equivalent of the number of hours they would work, on average, during a two-week period.
• Expanded FMLA: The law expands the FMLA definition of employer to all employers with fewer than 500 employees, and expands the definition of a covered employee to include all employees who have worked for covered employers for at least 30 days. This means more employees will be eligible for up to 12 weeks of unpaid leave.

In an effort to reduce the negative impact of coronavirus, several cities and states are offering loans, grants, and other resources for affected businesses. There are also federal relief programs that are currently in the works. Here is a running list of financial help available for small employers, based on location.

• Birmingham
• California
  • Berkeley
  • Oakland
  • Sacramento
  • San Francisco
• Chicago
• Colorado
  • Denver
• Connecticut
• Delaware
• Florida
• Massachusetts
• Maryland
• Michigan
• New Mexico
• New York City
• Pennsylvania
• Washington
  • Seattle
• Wisconsin

National resources for businesses impacted by COVID-19

Below are two SBA resources to help business owners get through this public health emergency.

SBA's Economic Injury Disaster Loans

The SBA is now offering low-interest federal disaster loans for eligible small businesses and non-profits reeling from the financial impact the coronavirus is causing. Right now, all states and territories are eligible for these loans. You can learn more about your eligibility and how to apply for an SBA disaster loan by visiting this page, calling their customer service number (1-800-659-2955), or emailing this address. Here are a few key details:

• Eligible small businesses can receive loans of up to $2 million.
• The loans may be used to pay fixed debts, payroll, accounts payable, and other bills that can’t be paid because of COVID-19.
• The interest rate is 3.75% for small businesses without other credit options, and 2.75% for non-profits.
• A long-term repayment plan of up to 30 years can help keep payments affordable.

Your local SBA District Office

Get in touch with your local SBA office to see if they have any additional resources specifically designed for business owners in your area. Several private companies are providing relief to small businesses as well.

Facebook

Facebook created a free Business Resource Hub with resources for businesses struggling to navigate the COVID-19 outbreak. Through the program, Facebook is offering $100M in cash grants and ad credits for up to 30,000 eligible small businesses.

Verizon

Verizon is waiving late fees incurred by any small business or residential customers due to their economic circumstances related to COVID-19 for the next 60 days. The company will also not terminate service to any customers who are unable to pay their bills due to COVID-19, and is adding an extra 15GB of data to all consumer and small business plans.

AT&T

AT&T will not terminate the service of any wireless, home phone, or broadband residential or small business customers unable to pay their bill due to disruptions caused by COVID-19. For the next 60 days, the company will also waive late payment fees incurred because of the COVID-19 pandemic, and it will keep public Wi-Fi hotspots open for any American who needs them.

Comcast

Comcast is providing free Xfinity hotspots, unlimited data, and no disconnects or late fees for all customers experiencing hardship over the next 60 days. Comcast is also offering a free Internet Essentials internet plan for all new customers for 60 days.

Yelp

Yelp created a $25 million fund to provide relief to independently owned restaurant and nightlife businesses and franchisees with fewer than five locations in the form of waived advertising fees and free advertising, products, and services during this period.

Yelp/Intuit Quickbooks/GoFundMe

Intuit Quickbooks teamed up with GoFundMe and Yelp to launch the Small Business Relief Initiative to provide small business owners with the financial support and resources needed to continue running their businesses during and after the coronavirus crisis. Each company has donated $500,000 to start the fund, which will provide grants to small businesses across the United States, starting with the hardest hit areas. The fund will also issue $500 matching grants to qualifying businesses that raise at least $500 on GoFundMe.

State and city resources for businesses impacted by COVID-19

Birmingham

Emergency Loan Fund

Birmingham-based small businesses may qualify for a zero-interest loan of up to $25,000. Eligible businesses need to have less than 50 employees and must use the loan to prevent layoffs, offer sick pay, or offset other types of COVID-19-related losses. To get more details about the program, fill out this survey.

California

Unemployment Insurance Work Sharing Program

Employers who are considering laying off employees due to a slowdown in business from the coronavirus can apply for the UI Work Sharing Program, which partially offsets reduced worker hours and wages with UI benefits. The program allows you to retain trained employees and quickly prepare for when business improves. You can apply for a Work Sharing plan by completing the application and mailing it to the address on the top of the form.

Loan Programs

IBank Small Business Finance Center has a loan guarantee program designed for disaster relief and is currently available to small businesses needing assistance due to COVID-19. To learn how to apply, visit the California Small Business Finance Center page.

Rapid Response Program

Rapid Response meets with business owners onsite to discuss strategies for avoiding potential layoffs and assist in providing further training to employees to increase the competitiveness and profitability of the business. To get started, contact America’s Job Center of California.

State tax extension

The Employment Development Department (EDD) of California will grant a 60-day tax extension for businesses that are experiencing hardship due to coronavirus. The tax extension will give more time for businesses to file state payroll reports and deposit state payroll taxes. You must submit a written request within 60 days of your original delinquent date.

Berkeley

Berkeley Relief Fund

Berkeley-based small businesses and non-profits that have lost significant revenue or patronage will soon be able to access a $3 million relief fund for emergency grants. The City of Berkeley is also asking private donors to contribute to the relief fund. The application link isn't live as of March 22, but you can get notified once it's up by signing up on this page.

Oakland

Business Tax Assistance

The City of Oakland's Finance Department will waive late payment penalties on taxes due March 1, 2020 for small businesses impacted by COVID-19. Employers can also apply for a payment plan to decrease the costs. To apply for a payment plan of learn more about penalty waivers, call the Finance Department customer service line at (510) 238-3704 or email BTwebsupport@oaklandca.gov.

Small Business Technical Help

Oakland's Business Assistance Center is working directly with employers to connect them with organizations that offer financial help, technical assistance, and more. To receive the help, visit oaklandbusinesscenter.com and fill out the online assessment form.

Sacramento

The City of Sacramento established a $1 million economic relief fund for businesses affected by COVID-19. The fund will provide zero-percent interest loans of up to $25,000 per business. Click here to apply.

San Francisco

Tax Deferment

San Francisco is deferring payment of quarterly business taxes due April 30 for businesses with up to $10 million in gross receipts. The taxes will be deferred to February 2021 with no interest or penalties.

Business Licensing Fee Deferment

San Francisco is also deferring annual small business license and permit fee due dates that make up the Unified License Bill until June 30, 2020. For information on both the tax and business licensing fee deferments, visit the COVID-19 Tax and License Deferral site.

Small Business Resiliency Fund

The Office of Economic and Workforce Development created the Small Business Resiliency Fund to offer up to $10,000 in emergency grants for businesses affected by COVID-19. You must be able to show a loss in revenue to be eligible for the grant. To learn more about the grant, visit the COVID-19 Small Business Resiliency Fund site.

Loan Funds

San Francisco provides access to capital and technical assistance through the Revolving Loan Fund, as well as the Emerging Business Loan Fund, which offers loans of up to $250,000 to qualifying commercial projects. Contact Karla De Leon at 510-830-3226 or email her at sanfrancisco@mainstreetlaunch.org to learn more about your loan options.

Chicago

Chicago Small Business Resiliency Loan Fund

Small businesses that have lost 25% or more in revenue from COVID-19 are eligible to apply for low-interest loans starting March 31. Businesses must have 50 or fewer employees to apply. Complete this form and a city representative will get in touch with more instructions.

Tax extensions

Business license renewals, late fees, and fine collections are all extended to April 30, 2020. Payments for the following business taxes have also been deferred to that date:

• Amusement tax
• Bottled water tax
• Checkout bag tax
• Hotel accommodation tax
• Parking tax
• Restaurant tax

Connecticut

Disaster Relief Fund

Small businesses and nonprofit organizations in Connecticut that have been impacted by COVID-19 are eligible for disaster relief loans of up to $2 million from the U.S. Small Business Administration. Apply for funding by visiting the SBA Disaster Assistance page.

Tax extensions

Deadlines for filing and payments associated with certain state business tax returns due on or after March 15, 2020 are extended by at least 30 days. You do not need to take action to receive the extended due date, but if you have questions, visit the Connecticut State Department of Revenue Services website to learn more.

Colorado

Work-Share program

The Colorado Work-Share program allows employees of businesses affected by COVID-19 to keep working, but with fewer hours. While an employee is working fewer hours, he or she may be eligible to collect part of his or her regular unemployment benefits. Employers must satisfy the following requirements to be eligible for the program:

• Your normal weekly hours must have been reduced by at least 10%.
• The reduction must affect at least of your employees.
• You must have paid as much in premiums as the Colorado Department of Labor and Employment paid your former employees in unemployment insurance benefits.

Denver

Small Business Emergency Relief Program

The Denver Office of Economic Development will give grants of up to $7,500 to eligible small businesses in the Denver area. Around 250 businesses will receive the cash grants, and employers in industries that are particularly hit hard by COVID-19 (like restaurants and retail) are encouraged to apply. Businesses can apply online here.

Tax extensions

Denver businesses won't have to pay the 15% late fee if they're unable to pay their business taxes that are due in March or April.

Delaware

Hospitality Emergency Loan Program (HELP)

The HELP program offers no-interest loans to restaurants, bars and other hospitality industry businesses impacted by COVID-19. The loans are capped at $10,000 per business and can be used for rent, utilities and other unavoidable bills, but not for personnel costs. The loans carry a 10-year term and payments will be deferred for nine months. Applications will be available soon, check out Delaware's Division of Small Business Page to learn more.

Florida

Small Business Emergency Bridge Loan Program

The Florida Small Business Emergency Bridge Loan Program is activated to support small businesses impacted by COVID-19. The program provides short-term, interest-free loans to small businesses that experienced economic injury. Employers with two to 100 employees can apply for loans up to $50,000. The loan is interest free for up to one year. To be eligible, your business must have been established prior to March 9, 2020. The application period runs through May 7, 2020. To apply, click here.

Tax assistance

The Florida Department of Revenue dedicated a team to address tax-related issues surrounding COVID-19. To contact the team, email covid19taxhelp@floridarevenue.com.

Maryland

Tax extensions

The due date for individual and business tax returns has been extended to July 15, 2020. No application for the extended due date is needed.

Massachusetts

Gov. Charlie Baker announced a $10 million loan fund to help support employers whose businesses have been impacted by COVID-19. Massachusetts-based businesses with under 50 employees will be able to receive up to $75,000 in emergency funding. If you are eligible, you will receive the funds immediately and have no payments for six months. To apply for the loan, visit the Massachusetts Growth Capital Corporation's COVID-19 page.

Michigan

Starting April 1, the Michigan Small Business Relief Program will provide $10 million in low-interest loans and $10 million in grants to eligible Michigan businesses. The loans are for employers with 50 employees or less, and the grants are for companies with less than 100 employees. Keep an eye on this page for updates on both programs and how to apply.

New Mexico

COVID-19 Business Loan Guarantee Program

The New Mexico Economic Development Department created a program to assist businesses impacted by COVID-19 with emergency loans or lines of credit. NMEDD can guarantee a portion of a loan or line of credit up to 80% of principal or $50,000. Loan proceeds are flexible and can be used for working capital, inventory and payroll. Visit NMEDD's COVID-19 help page to apply.

New York City

Mayor Bill de Blasio announced on March 8 that businesses with fewer than 100 employees who have seen a sales decrease of at least 25% because of COVID-19 are eligible for up to $75,000 in interest-free loans to make up for profit losses. Small businesses with fewer than 5 employees are being offered a grant to cover 40% of payroll costs for up to two months. If you’re interested in either one of these programs, fill out the COVID-19 Business Assistance Survey.

Pennsylvania

Philadelphia

COVID-19 Small Business Relief Fund

The Philadelphia COVID-19 Small Business Relief Fund grants and zero-interest loans to Philadelphia businesses negatively impacted by COVID-19. The fund consists of three programs:

• Microenterprise Grant: Businesses with under $500,000 in annual revenue are eligible to receive up to $3,500 in grant funding. To apply, you'll need a signed tax return to confirm annual revenue, a description of the impact of COVID-19 on your business, and your recovery plan.
• Small Biz Grant: Businesses with between $500,000 and $3 million in annual revenue are eligible to receive up to $25,000 in grant funding. To apply, you'll need a signed tax return, 2019 financial statements, verification of cash flow needs, proof of insurance, a description of the impact of COVID-19 on your business, and your recovery plan.
• Small Biz Zero-Interest Loan: Businesses with between $3 million and $5 million in annual revenue are eligible to receive up to $100,000 in an interest-free loan. To apply, you'll need a signed tax return, 2019 financial statements, verification of cash flow needs, proof of insurance, a description of the impact of COVID-19 on your business, and your recovery plan.

Click here to apply for all three of theses programs.

Washington

State tax extension

Employers who have seen an impact on business due to COVID-19 may request a tax extension from the Washington Department State of Revenue. The extension is designed to free up your cash reserves, and give you more time to pay and report your taxes. If you don’t apply for a tax extension but are late in paying your taxes because of the coronavirus, the penalty may be waived under certain circumstances if you haven’t owed a late penalty in the last two years. Contact WDOR at 360.705.6705 to find out if you’re eligible for the tax extension.

SharedWork Program

Much like California’s UI Work Sharing Program, the Washington SharedWork Program partially offsets reduced worker hours and wages with UI benefits. This valuable resource can reduce your payroll costs by around 10% and it could allow you to keep your trained staff intact. Apply for the Shared Work Program here, and refer to the instructions on this page.

Standby

If you need to shut down operations because your employees are sick and need to be quarantined, you can request to place your staff on standby for up to eight weeks. This means your employees will be able to receive benefits and won’t be forced to look for another job. Washington-based employers must wait for a worker to apply for standby, at which point a “Request for Separation Information” form will be sent in the mail. Fill out the form, mail it back, and you’ll then be sent a decision in the mail.

Seattle

Small Business Stabilization Fund

The City of Seattle invested $1.5 million in funding for small businesses financially impacted by COVID-19. Eligible small Seattle businesses will receive a grant of up to $10,000 to mitigate revenue lost by COVID-19. The following guidelines are posted for eligibility:

• You must have a low- or moderate-income (≤80% of the Area Median Income).
• You must have five employees or less.
• You must have a physical establishment.
• You must have experienced a loss of income due to COVID-19.

The deadline to apply is March 25. Visit the Small Business Stabilization Fund website to learn more.

Wisconsin

Businesses with 20 or fewer employees may qualify for a $5 million grant program from the Wisconsin Economic Development Corp. The program, called Small Business 20/20, will provide up to $20,000 to eligible Wisconsin-based businesses to help fight the economic impact of COVID-19. Get more information on the grant program here.