COVID-19 Business Assistance
AHANA has been contracted by the Department of Commerce through their Small Business Resiliency Assistance program to assist and provide technical support for small businesses in underserved and under-represented communities affected by the COVID-19 pandemic.
Underserved communities include ethnic and/or racial minorities, immigrants and refugees, Native Americans, youth, individuals with disabilities or deafness, and who identify as LGBTQ.
Technical support and assistance may include:
- Navigational and technical assistance with business forms
- Providing information and resources with translations
- Mentorship, education and training with translations
- Planning for recovery and re-opening of business
These services are available through August 31, 2020.
City of Spokane
The City of Spokane’s Community, Housing, and Human Services (CHHS) Board is investing $100,000 to help small businesses stay resilient in the economic impact of the COVID-19 pandemic. The Business Resilience Loan Fund Program, provided by federal Community Development Block Grant (CDBG) dollars, will provide eligible Spokane businesses with access to affordable Business Resilience Loans through a partnership with non-bank community lender Craft3. Eligible businesses will work with Craft3 on a full application and underwriting to determine creditworthiness. Due to credit requirements, not every business will receive a loan. Loans can be between $10,000 and $50,000.
Interested applicants must meet these minimum qualifications in order to be eligible:
- Located in the City of Spokane
- Credit Score of 640 or higher
- Reported a profit in 2019
- Minimum of 24 months in business
If your business meets these qualifications, please call the Financial Helpline: (509) 625-6650
Monday-Friday, 8 a.m. – 5 p.m.
Ask for the Business Resilience Loan Program
You will then be asked additional questions that include:
- Business Establishment Date
- DUNS/TIN #
- Number of Employees (Full and Part Time)
- Other sources of COVID-19 received
Please be prepared with this information. Helpline staff will collect the above information with interested applicants, which will be submitted to the CHHS department for basic screening review before being provided to Craft3.
Craft3 will complete an in-depth review and connect with the point of contact provided on the initial screening form to have applicants complete a more detailed loan application. Applicants will have 48 hours to complete the loan application from Craft3.
Washington State Resources
AHANA has formed a partnership with Communities Rise a capacity building organization providing services statewide. Communities Rise has expanded their capacity to serve small businesses and nonprofits impacted by COVID-19 through their COVID-19 virtual Legal Clinics.
Covid-19 Small Business and Nonprofit Legal Clinic: Small businesses and nonprofits will get to meet with a lawyer for a free 60-minute legal consultation by phone or video conference (client preference). After a client applies for services, they are match them with a lawyer, and the lawyer will call them to schedule your appointment. We have created this new and expanded clinic system to handle a high volume of COVID-19 related requests. Interpretation is available in a variety of languages.
Details of the Community Rise Covid-19 Small Business and Nonprofit Legal Clinic can be found at this link: https://communities-rise.org/news/free-covid-19-legal-clinic-launch-announcement/
In addition, there are a number of tools on their website that might be helpful:
- Short instructional videos that walk through the PPP and EIDL loan applications with accompanying updates and supplemental materials.
- Lease Amendment Toolkit and video. We are creating a Lease Amendment Toolkit for small businesses and nonprofits to navigate renegotiating their leases. (Coming soon to our website)
- Legal Alerts to let the community know about the changing laws and federal and state resources.
- Free grant writing and fundraising clinics
To request capacity building support visit this link: https://communities-rise.org/covid-19-resources/covid-support/
- Business incorporated in Washington State
- 50 employees or less
- Business has experienced distress due to Covid-19
- WA state nonprofits
- 50 employees or less
- 501(c)(3) tax-exempt organizations or fiscally sponsored organizations
Businesses can apply for up to $10,000 in emergency funding
Up to $5 million in funds are provided through Governor Inslee’s Strategic Reserve Fund and administered by the State Department of Commerce to assist small businesses impacted by the COVID-19 outbreak. The grant program will provide a limited number of businesses in Washington’s 39 counties with a grant up to $10,000.
- Grant funds can used for operational expenses including rent, supplies/inventory, utility bills, etc. as well as consulting, marketing, and training.
- Applications must include a list of proposed expenses grants will be spent on. Applications without a list of proposed expenses will be considered incomplete. This reimbursement-based grant can assist with outstanding invoices dated March 1 and beyond.
- The following expenses are not eligible: capitalized equipment, travel, office equipment, and computer software.
- Applicants should have been in business for at least one year.
- Businesses with up to 10 full-time employees (FTEs) may apply for a one-time grant of up to $10,000.
- Funding is not meant to help launch a business, but to support existing businesses who are specifically affected by the COVID-19 crisis and are vital members of their local community.
- Applicants are eligible to receive one Working Washington Grant award during the current budget cycle, which ends on 06/30/2021.
- Small businesses that qualify for the grant program will submit applications through AHANA. Completed applications are sent to: firstname.lastname@example.org
- County/regional economic development organizations will prioritize applications based on the severity of the impact the business is facing due to COVID-19, including from being forced to close by the government-mandated closures, social distancing measures or illness.
- Recommended awards will be sent to the Department of Commerce for review and vetting.
- Qualifying applications will be forwarded to the Governor for review and signature.
- Your local ADO will administer approved awards to the successful company.
- Awards will be approved on a case-by-case basis and are dependent on the availability of funds. The objective is to support businesses through the crisis and enable them to retain as many employees as possible.
Due to anticipated volumes, please allow 4 to 6 weeks for processing and disbursement of grants.
- Applications are due April 16th, end of day
- To apply, download the application by clicking here.
- Complete as much of the information as you can.
- Email the completed form to email@example.com
- If you have a question about the grant program, please use the corresponding email for your county to submit it.
DSHS to provide disaster cash assistance for some Washingtonians beginning April 17.
OLYMPIA – Beginning Friday, April 17, some Washington residents can apply through the Department of Social and Health Services for emergency cash assistance to help meet their immediate needs. As a result of Governor Inslee’s emergency declaration in the face of the COVID-19 pandemic, the federal government has approved implementing the Disaster Cash Assistance Program, or DCAP, in Washington state.
The Governor’s declaration of a statewide emergency and subsequent proclamation on March 18 enables DSHS to offer DCAP benefits to people who are not eligible for other cash assistance programs. The assistance is available to all Washington families and people without children who meet the income and resource limits of the program. DSHS estimates more than 175,000 households may be eligible for this assistance.
“Having access to this emergency aid is critically important to helping people meet their immediate, basic needs, like shelter costs, utilities, clothing, minor medical care, household supplies and transportation costs for work,” explained Babs Roberts, director of DSHS’ Community Services Division. “We’re pleased Governor Inslee made these funds available so that we can extend the benefits to Washingtonians who are most in need during this unprecedented time.”
This cash assistance is available to Washington residents regardless of citizenship status, and does not require applicants to provide a Social Security number. Eligible households will receive their DCAP benefits for one month in a 12-month period during an emergency. The benefit amount depends on household size, income and need, ranging from a maximum of $363 for a single person to a maximum of $1,121 for a household of eight or more people. Once approved, people will receive their DCAP benefits on an existing Electronic Benefit Transfer, or EBT, card or a new EBT card will be sent via U.S. Mail.
People can apply for DCAP online at WashingtonConnection.org and then call the Customer Service Contact Center at 877-501-2233 to complete the required interview. People can also call 877-501-2233 to complete the entire application process over the phone. Due to much higher than normal call volumes, people are asked to call before 11 a.m. and to keep in mind that the busiest call times are 11 a.m. to 2 p.m.
This news release is also available in Spanish.
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Additional State Resources
5-18-2020: PPP Loan Forgiveness application (PDF)
5-4-2020: Second round of PPP applications are now available
6-30-2020: $130 billion in PPP left unspent as of 6-30 application deadline. Senate passes legislation to extend PPP to August 8. House needs to approve and President Trump needs to sign.
The SBA is working directly with state Governors to provide targeted, low-interest loans to small businesses and non-profits that have been severely impacted by the Coronavirus (COVID-19). The SBA’s Economic Injury Disaster Loan (EIDL) program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
The CARES Act, provides additional assistance for small business owners, including the opportunity to receive up to a $10,000 Advance on an Economic Injury Disaster Loan (EIDL) for emergency capital.
- For detailed information on SBA programs for the coronavirus, please visit www.sba.gov/coronavirus and for information on all federal programs, visit www.usa.gov/coronavirus or www.gobierno.usa.gov/coronavirus (en Español).
- Small business owners in all U.S. states, Washington D.C., and territories are currently eligible to apply for a long-term, low-interest loan due to Coronavirus (COVID-19).
Small business owners in all U.S. states and territories are currently eligible to apply for a low-interest loan due to Coronavirus (COVID-19). Click here to apply.
Find more information on the SBA’s Economic Injury Disaster Loans at: SBA.gov/Disaster.
Here’s how the loan forgiveness works:
- Your company’s expenses for the eight-week period after the origination of the loan will be analyzed.
- Every dollar your company spent on payroll, utilities, rent, or interest on mortgage debt will be added together. That amount will be forgiven, up to the total amount your company borrowed through the program.
There is one caveat, however. The amount that is forgiven will be reduced for businesses that lay off employees during the first eight weeks following the loan. Companies that reduce wages of employees who make less than $100,000 per year by 25 percent or more will also have the forgivable amount reduced.
The good news is that businesses that have already let employees go before accepting the loan will not be subject to such penalties. And if those businesses rehire employees after accepting the loan, they’ll receive additional credit to cover their wages.
Emergency grant of $10,000 to SBA Economic Injury Disaster Loan applicants: Even if your business is denied a loan, you can still access this grant, which can be used to provide employee sick leave, maintain payroll or meet other needs like paying rent.
The U.S. Small Business Administration (SBA) will guarantee loans with terms of up to 10 years and interest rates of up to 4% to businesses with fewer than 500 employees. Businesses can qualify for loans of up to $10 million, and the loans will be provided by lenders including banks and credit unions. Eligible businesses can get loan deferment for six months to a year, and the loan may be forgiven if the businesses maintains its payroll for eight weeks at employees’ normal salary levels.
The SBA’s paycheck protection loan program is “really more of a loan that converts to a grant,” Bradley said. Small businesses with fewer than 500 employees qualify, as will some larger companies. The program is aimed at helping businesses maintain their payroll during the significant business disruption caused by the coronavirus crisis.
The Express Bridge Loan Pilot Program allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 with less paperwork. These loans can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing and can be a term loans or used to bridge the gap while applying for a direct SBA Economic Injury Disaster loan. If a small business has an urgent need for cash while waiting for decision and disbursement on Economic Injury Disaster Loan, they may qualify for an SBA Express Disaster Bridge Loan.
- Up to $25,000
- Fast turnaround
- Will be repaid in full or in part by proceeds from the EIDL loan
Federal Assistance FAQs
Coronavirus Aid, Relief, and Economic Security (CARES) Act
If your business existed on Jan. 31 and you are a small-business owner with fewer than 500 employees, or if you’re an independent contractor, sole proprietor or any other eligible entity, you can get a loan for up to $2 million. Through Dec. 31, you are also eligible for an emergency grant of up to $10,000 that the SBA says you’ll receive within three days of applying. You don’t have to repay the emergency grant, but you do have to pay back the rest of any loan you’re awarded. You can get both a Paycheck Protection Program (PPP) loan and an Economic Injury Disaster Loan ( EIDL ), but you can’t double-dip and use both loans for the same purpose, the guidance states. According to the U.S. Chamber of Commerce, “if you are able to secure a PPP loan, the $10,000 grant will be subtracted from the forgiveness amount.”
A small business with fewer than 500 employees that was in business on or before February 15, 2020. This can be an S Corp, C Corp, LLC, sole proprietorship or independent contractor. It also includes certain nonprofits, tribal groups, veteran groups. When obtaining the PPP loan, you need to certify that your business has been economically affected or that economic uncertainty make the loan necessary.
Economic Injury Disaster Loan (EIDL): You can get up to $2 million. Actual loan amounts are based on the amount of economic injury. The EIDL Advance emergency grant is only for $10,000.
Paycheck Protection Program (PPP): The loan can equal up to two months of your business’s average monthly payroll costs from the last year, plus an additional 25%. Loans are capped at a maximum of $10 million or an amount that will be calculated using a payroll-based formula.
For EIDL: You can use this for your fixed debts, payroll, accounts payable and other bills that could have been paid had the COVID-19 pandemic not occurred.
For PPP: The core purpose of this loan is to keep your small business staff paid and employed. The majority of this loan is meant to be used on paying your employees. You don’t have to pay back the loan so long as you use at least 75% of the money you get on payroll costs. Payroll costs include employee benefits like medical and sick leave, salary, wages, commissions, tips and state and local taxes.
You can also use the loan for interest on mortgage obligations, rent and utilities that were incurred before Feb. 15.
For EIDL: It’s 3.75% for businesses and 2.75% for nonprofits.
For PPP: The interest rate was originally 0.5%, but the Treasury Department issued new guidance that the interest rate will be doubled to 1%.
For EIDL: 30 years.
For PPP: 2 years.
For EIDL: You can apply for an EIDL through https://covid19relief.sba.gov/#/. The SBA estimates that it will take you two hours and 10 minutes to apply. Be prepared to show your operating expenses. The EIDL application asks for your gross revenue for the 12 months prior to Jan. 31, 2020, for example.
For PPP: Lenders will ask you to fill out an application form that you can get a cope at : https://home.treasury.gov/system/files/136/Paycheck-Protection-Program-Application-3-30-2020-v3.pdf Fact sheet about PPP. https://home.treasury.gov/system/files/136/PPP–Fact-Sheet.pdf
Be prepared to provide information like payroll processing records, payroll tax filings, or income and expenses from a sole proprietorship. “For borrowers that do not have any such documentation, the borrower must provide other supporting documentation, such as bank records, sufficient to demonstrate the qualifying payroll amount,” the Treasury Department’s guidelines state.
Yes, you are still eligible to get full loan forgiveness if you rehire your staff and restore salary levels for any changes made between Feb. 15 and April 26, before the end of June, according to the SBA.
Fact sheet about PPP from Treasury.gov: https://home.treasury.gov/system/files/136/PPP–Fact-Sheet.pdf
Local Initiatives Support Corporation (LISC)
LISC Small Business Relief Grants
Small businesses across the country, the backbone of our nation’s economy, are facing potentially devastating economic pressure as a result of the Covid-19 pandemic. Many have already been forced to shut temporarily, and even those operating remotely still face major revenue shortfalls. With few or no reserves to pay their expenses, many will have no choice but to lay off workers and close their doors forever.
Financial assistance at this critical time can make the difference between staying in business or closing permanently, leading to lost income and jobs and economic instability.
Thanks to support from funders like Verizon, Sam’s Club, Truist and Lowe’s, we are providing grants to small businesses, to help them keep functioning and remain vital facets of their local economies through this challenging period.