CARMICHAEL, CA (MPG) - Here is some information shared from our friends at the Sacramento Metro Chamber of Commerce (received 3/28/2020).

As we wait for more details on the CARE Act, sharing with you some initial information we have received so far to the most asked question - funding:

Paycheck Protection Program – These are emergency small business loans that may be forgiven and will be available to borrowers that maintain their payrolls during the crisis or restore after. Loans will be up to $10M, depending on your monthly payroll. Loan forgiveness will be dependent on the payroll at the start of the loan and completion of the loan period (approximately through June 30). Businesses that have laid off staff may still be eligible if they bring staff back on at the start of the loan period.  These loans will be provided through traditional financial partners and not directly from SBA. These lenders TBA. Still a lot to be worked out on this program; expect more this week. No date determined yet on when applications will be available.

Online resource:  U.S. Chamber Summary of Paycheck Protection Program Loans

Additional Funding Updates: 

Economic Injury Disaster Loan Program - Low interest loans up to $2M for small businesses and nonprofits; up to a year deferral. Guidance for businesses and employers, government contracting, and local assistance information. Live agents are available to guide you through the process at 1-800-659-2955.

Existing Disaster Loans - If you had an existing SBA Disaster Loan prior to COVID-19 (e.g. loan for fire declaration), you can now automatically defer your loan to the end of 2020. 

SBA Express Bridge Loans - Allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 with less paperwork. Small businesses waiting on approval for a Disaster Loan may be able to access this Bridge Loan while waiting on a decision. 

Existing 7a SBA Loans - Borrowers may request deferral up to 3 months from their lender for those with a traditional 7a SBA Loan, with another possible extension to 6 months. The SBA has authorized lenders to take this action. Borrowers need to contact their lender to negotiate.

Important: this is not an automatic deferral.

US Chamber Guide to SBA Loans https://www.uschamber.com/co/start/strategy/federal-small-business-stimulus-aid-programs-guide

There is also financial support to nonprofits in the CARE Act – 501c3 and 501c6. We hope to know more by early next week on this aid.  In the meantime, the updates above will be added to the Rapid Response Hub and additional updates sent as we receive it. If you have any questions, please don’t hesitate to ask. Thank you.