The U.S. Small Business Administration (SBA) is offering low-interest federal disaster loans for working capital to Massachusetts small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19), SBA Administrator Jovita Carranza announced. SBA acted under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, to declare a disaster following a request received from Gov. Charles D. Baker on March 17, 2020. Click here for details in English or Spanish.Visit SBA's website for additional details by clicking here.

• View the fact sheet on the Economic Injury Disaster Loans available for Massachusetts.
  
  • No personal guarantees on loans up to $200,000 — No real estate collateral requirements on loans up to $500,000 (SBA will look for best lien filing position on all business assets) — Initial loan amount is for six months of working capital — Non-profits have no size standard (all can apply) — $10,000 advance will be calculated based on number of employees (sole proprietor would get $1000)
• SBA Updates Criteria on States for Requesting Disaster Assistance Loans for Small Businesses Impacted by Coronavirus.
• How to Apply - SBA Economic Injury Disaster Loan Overview (recorded webinar)
• Apply Today: Step-by-Step Application Overview (pdf)
• Listen to SBA District Director Robert Nelson talk about statewide activation of the Economic Injury Disaster Loan program (recorded interview)
• Sign up for SBA Updates
• SBA Express Bridge Loans available in response to COVID-19 - enable small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 quickly. A procedural notice by the SBA has full guidance. The purpose of this Notice is to address the implementation of Section 1112 for the 7(a) and 504 Loan Programs.
• Do you need capital to cover the cost of retaining employees? The Paycheck Protection Program (PPP) is specifically designed to help small businesses keep its workforce employed.
• Find eligible lenders
• List of FAQs (updated 5/19/20)
• Summary of PPP lending to date (released 5/18/20)
• PPP Interim Final Rule - Treatment of Entities with Foreign Affiliates (released 5/18/20)
• Do you need a quick infusion of a smaller amount of cash to cover you right now? You might want to look into SBA's Emergency Economic Injury Grant. If you have an existing relationship with an SBA Express lender, the Express Bridge Loan might be a good fit to get up to $25K quickly.  Look for Express Lenders.
• Small Business Debt Relief Program can help ease your fears about keeping up with payments on your current or potential SBA loan.
• Federal Contracting Guidance for Small Businesses Impacted by COVID-19
• Economic Injury Disaster Loans for U.S. Agricultural Businesses impacted by COVID-19 pandemic
   

Coronavirus (COVID-19): SBA's Small Business Guidance & Loan Resources - Health and government officials are working together to maintain the safety, security, and health of the American people. Small businesses are encouraged to do their part to keep their employees, customers, and themselves healthy.

SBA knows that you are facing challenging times in this current health crisis and is committed to help bring relief to small businesses and nonprofit organizations suffering because of the Coronavirus (COVID-19) pandemic. On March 27, 2020, President Trump signed into law the CARES Act, which provided additional assistance for small business owners and non-profits, including the opportunity to get up to a $10,000 Advance on an Economic Injury Disaster Loan (EIDL). This Advance may be available even if your EIDL application was declined or is still pending, and will be forgiven. If you wish to apply for the Advance on your EIDL, please visit www.SBA.gov/Disaster as soon as possible to fill out a new, streamlined application. In order to qualify for the Advance, you need to submit this new application even if you previously submitted an EIDL application. Applying for the Advance will not impact the status or slow your existing application.

If I am applying or already received an SBA Economic Injury Disaster Loan, is my small business eligible to participate in the Paycheck Protection Program? For details in multiple languages, click here.

• Borrowers can apply for BOTH an Economic Injury Disaster Loan and the Paycheck Protection Program loan.
• However, the Paycheck Protection Program loan funds and the Economic Injury Disaster Loan funds cannot be used for the same purpose. 
• The Paycheck Protection Program loan must be used for payroll (minimum of 75% of the funds received) for it to be eligible for a forgivable loan and the remaining 25% is used for different purposes (mortgage interest, rent, utilities, other services).
• Borrowers who accept both loan funds should document the uses of the funds appropriately.
• If your Economic Injury Disaster Loan was used for payroll costs, your Paycheck Protection Program loan must be used to refinance your Economic Injury Disaster Loan. 
• Any advance up to $10,000 on the Economic Injury Disaster Loan will be deducted from the loan forgiveness amount of the Paycheck Protection Program loan. 
• For example, a borrower may obtain a loan from the Paycheck Protection Program and use those funds to pay for 8 weeks of payroll or employee retention. They may wish to then dedicate their entire EIDL funds towards working capital, notes payable and accounts payable that do not duplicate the funds provided through the Paycheck Protection Program. If the EIDL loan was used for payroll expenses, the borrower must refinance the EIDL loan with the PPP loan which carries a lower interest rate as well as a shorter maturity period.
• If you are applying for both, you can accept PPP first – then decide whether or not to close on your EIDL approved loan. 
• The application period for PPP loans runs through June 30, 2020, but the EIDL application period runs through December 2020.
• EIDL Loan advances will start to be distributed this week. $1000 per employee up to $10,000 max
• EIDL Loans - IF YOU DID NOT APPLY THROUGH THE STREAMLINED PROCESS WHICH STARTED LAST WEEK, SBA request that you visit https://covid19relief.sba.gov/#/ and reapply with the secure streamlined process. You will not lose your place in queue with your original EIDL loan application.
• EIDL loans will not require a personal guarantee for loans under $200,000.
• EIDL loans will not require real estate collateral for loans under $500,000. SBA will be looking be best available lien priority on all business assets or other business assets.

Please direct all inquiries and questions to the SBA District Office email at MassachusettsDO@sba.gov.

*Updated on 4/14/20 - Guidance for Self-Employed, 1099ers & Independent Contractors. SBA released guidance "Interim Final Rule - Additional Eligibility Criteria and Requirements for Certain Pledges of Loans Applicable Affiliation Rules" highlighting frequently asked questions for PPP loan applicants who are Individuals with Self-Employment Income who File a Form 1040, Schedule C.

The SBA has processed more than 14 years’ worth of loans in less than 14 days. The Paycheck Protection Program is saving millions of jobs and helping America’s small businesses make it through this challenging time. The EIDL program is also providing much-needed relief to sustain businesses and their employees. • By law, the SBA will not be able to issue new loan approvals once the programs experience a lapse in appropriations. • SBA and Treasury urge Congress to appropriate additional funds for the Paycheck Protection Program—a critical and overwhelmingly bipartisan program—at which point we will once again be able to process loan applications, issue loan numbers, and protect millions more paychecks.

Joint Statement by SBA Administrator Jovita Carranza and Treasury Secretary Steven T. Mnuchin on the Resumption of the Paycheck Protection Program. The Small Business Administration will resume accepting PPP loan applications on Monday, April 27 from approved lenders on behalf of any eligible borrower.

Update May 4, 2020 - SBA to Make Economic Injury Disaster Loans Available to U.S. Agricultural Businesses Impacted by COVID-19 Pandemic. U.S. Small Business Administration Administrator Jovita Carranza announced today that agricultural businesses are now eligible for SBA’s Economic Injury Disaster Loan (EIDL) and EIDL Advance programs.

Update May 5, 2020 - Important Update!!  If you entered an application for EIDL (Economic Injury Disaster Loan) and have a confirmation number starting with a “2", you probably used an older application version. If you have not already done so, please go back into the SBA application and use the streamlined version (link below) to receive a confirmation number the starts with a “3” (even though it says “agricultural” on the application still re-apply). To resubmit your information, go to https://covid19relief.sba.gov/#/. SBA will match your two applications and keep your application in the queue. Please contact the local MSBDC office to make an appointment with your advisor, or be assigned to an advisor, to help you with the streamlined application.

Update May 5, 2020 - SBA and the Treasury have released additional information regarding the Paycheck Protection Program (PPP).

•  Frequently Asked Questions Document (Questions 43 – Released May 5, 2020)
•  PPP information can be found at www.sba.gov/paycheckprotection or www.treasury.gov/cares

Coronavirus Recovery Information in Other Languages - SBA is providing materials in languages other than English to help business owners recover. Click here.

Update May 13, 2020 -  Requirements for Loan Increases for Partnerships or Seasonal Employers

Update May 14, 2020 - Eligibility of Certain Electric Cooperatives

Update May 26, 2020 - SBA and Treasury release Paycheck Protection Program Loan Forgiveness Application.

Update June 1, 2020 - Paycheck Protection Program (PPP) Lending Update

Update June 8, 2020 - Joint Statement by Treasury Secretary Steven T. Mnuchin and SBA Administrator Jovita Carranza Regarding Enactment of the Paycheck Protection Program Flexibility Act

Update June 15, 2020 - SBA’s Economic Injury Disaster Loans and Advance Program Reopened

Update June 18, 2020 - Last Chance to Apply for Paycheck Protection Program Funds: June 30 Deadline! Time is running out to apply for a Paycheck Protection Program (PPP) loan to help your small business through the COVID-19 crisis. There is still more than $120 billion available and the June 30 deadline to apply is fast approaching! Click here for details.

Update August 24, 2020 - Interim Final Rule - Treatment of Owners and Forgiveness of Certain Nonpayroll Costs

Update October 8, 2020 - Instructions for simpler loan forgiveness application for Paycheck Protection Program (PPP) loans of $50,000 or less

America’s SBDCs are working to help small businesses address the business challenges of the coronavirus disease (COVID-19) pandemic. On this page, they have gathered information and resources to help small businesses plan for and respond to the pandemic.

America’s SBDC starts new federal resource for small business - click here to be redirected.

Small Business Resiliency - An actionable business resiliency plan could mean difference between business continuity and closure. Useful documents from America's SBDC:

• Business Resiliency Guidebook
• Business Resiliency Plan Template
• Emergency Procedures Template

COVID-19 Response Command Center Massachusetts Emergency Management Agency (MEMA) - The Command Center, under the leadership of Secretary Sudders and reporting to Governor Baker and Lt. Governor Karyn Polito, will be the Commonwealth’s single point of strategic decision making and coordination for the Administration’s comprehensive COVID-19 response. You can find the COVID-19 reports from MEMA in the State Library archives by clicking here.

Foley & Foley PC, a law firm in Falmouth, has created several useful documents that are helpful during this COVID-19 crisis, including details for businesses on the eligibility, leave and pay obligations under the new Families First Coronavirus Response Act (FFCRA).

- Chart for Families First Coronavirus Response Act (FFCRA)
- What you need to know and do: FFCRA
- Families First Coronavirus Response Act Compliance Package

• Do you need capital to cover the cost of retaining employees? Then SBA's Paycheck Protection Program might be right for you.
  
• Do you need a quick infusion of a smaller amount of cash to cover you right now? You might want to look into SBA's Emergency Economic Injury Grant. If you have an existing relationship with an SBA Express lender, the Express Bridge Loan might be a good fit to get up to $25K quickly.  Look for Express Lenders To ease your fears about keeping up with payments on your current or potential SBA loan? The Small Business Debt Relief Program could help. 

If I am applying or already received an SBA Economic Injury Disaster Loan, is my small business eligible to participate in the Paycheck Protection Program?

• Borrowers can apply for BOTH an Economic Injury Disaster Loan and the Paycheck Protection Program loan.
• However, the Paycheck Protection Program loan funds and the Economic Injury Disaster Loan funds cannot be used for the same purpose. 
• The Paycheck Protection Program loan must be used for payroll (minimum of 75% of the funds received) for it to be eligible for a forgivable loan and the remaining 25% is used for different purposes (mortgage interest, rent, utilities, other services).
• Borrowers who accept both loan funds should document the uses of the funds appropriately.
• If your Economic Injury Disaster Loan was used for payroll costs, your Paycheck Protection Program loan must be used to refinance your Economic Injury Disaster Loan. 
• Any advance up to $10,000 on the Economic Injury Disaster Loan will be deducted from the loan forgiveness amount of the Paycheck Protection Program loan. 
• For example, a borrower may obtain a loan from the Paycheck Protection Program and use those funds to pay for 8 weeks of payroll or employee retention. They may wish to then dedicate their entire EIDL funds towards working capital, notes payable and accounts payable that do not duplicate the funds provided through the Paycheck Protection Program. If the EIDL loan was used for payroll expenses, the borrower must refinance the EIDL loan with the PPP loan which carries a lower interest rate as well as a shorter maturity period.
• If you are applying for both, you can accept PPP first – then decide whether or not to close on your EIDL approved loan. 
• The application period for PPP loans runs through June 30, 2020, but the EIDL application period runs through December 2020.
• EIDL Loan advances will start to be distributed this week.  $1000 per employee up to $10,000 max
• EIDL Loans - IF YOU DID NOT APPLY THROUGH THE STREAMLINED PROCESS WHICH STARTED LAST WEEK, SBA request that you visit https://covid19relief.sba.gov/#/ and reapply with the secure streamlined process. You will not lose your place in queue with your original EIDL loan application.
• EIDL loans will not require a personal guarantee for loans under $200,000.
• EIDL loans will not require real estate collateral for loans under $500,000. SBA will be looking be best available lien priority on all business assets or other business assets.

Please direct all inquiries and questions to the SBA District Office email at MassachusettsDO@sba.gov.

The Need for Appropriate Medical Equipment and Personal Protective Equipment (PPE) is Tremendous - How Your Company Can Help

• To sell medical supplies or equipment to the federal government, please submit a price quote under the COVID-19 PPE and Medical Supplies Request for Quotation. Full details can be found in the solicitation here. This solicitation requires registration with the System for Award Management (SAM) in order to be considered for award, pursuant to applicable regulations and guidelines.  Registration information can be found at www.sam.gov  Registration must be “ACTIVE” at the time of award.
• If you have medical supplies or equipment to donate, please provide FEMA details on what you are offering.
• If you are a private company that wants to produce a product related to the COVID response – email nbeoc@max.gov.
• If you are a hospital or healthcare provider in need of medical supplies, please contact your state, local, tribal or territory department of public health and/or emergency management agency.
• If you are interested in doing business with FEMA and supporting the response to COVID- 19 with your company’s non-medical goods and/or services, please submit your inquiry to the Department of Homeland Security (DHS) Procurement Action Innovative Response Team (PAIR) team at DHSIndustryLiaison@hq.dhs.gov. Details on the above can also be found at FEMA’s how to help.

Federal Government Responses to COVID-19

EXIM Board Takes United Action in Response to COVID-19 to Support U.S. Exporters and Jobs with Unprecedented Financing Flexibility

To bolster American businesses and workers and their families in response to the COVID-19 global pandemic, the Export-Import Bank of the United States (EXIM) board of directors underscored its strong support for new initiatives to inject liquidity into the market and give maximum financing flexibility to facilitate sales of U.S. goods and services abroad. Specifically, EXIM’s board of directors, through its unanimous adoption of a resolution during an open board meeting with the public via teleconference, affirmed its support of the following temporary EXIM programs to provide relief to U.S. businesses their buyers, financial institutions, and American workers negatively impacted by COVID-19: Bridge Financing Program; Pre-Delivery / Pre-Export Financing Program; Supply Chain Financing Guarantee Program; and Working Capital Guarantee Program. Learn more...

MA Life Sciences Emergency SupplyHub companies are donating PPE, supplies, and resources necessary for those on the healthcare frontlines to keep treating patients with COVID-19. PPE is needed more than ever and the demand for testing supplies is becoming more acute. The State has set-up a new portal to handle all offers of assistance – from donations to procurement to manufacturing. If you have PPE to donate or can help the state with procurement or manufacturing, please share that information directly with the state through these links.

The Pros and Cons of the SBA Relief Programs: A Panel of Experts Weigh In (webinar) 

(April 13, 2020) EforAll hosted a webinar to discuss the new SBA relief programs introduced to help businesses impacted by the COVID-19 crisis. Speakers include: Anthony Ackil, CEO, Streetlight Ventures; Melinda Ailes, Senior Business Advisor, Massachusetts Small Business Development Center; Michael Medina, Loan Consultant, Accion Serving the East Coast; Matt Pierce, Chief Credit Officer, Leader Bank; and Sushil Tuli, Founder, Leader Bank. Click here to view.

Small Business Resiliency - An actionable business resiliency plan could mean difference between business continuity and closure. Courtesy of America's SBDC and Google.

• Business Resiliency Guidebook
• Business Resiliency Plan Template
• Emergency Procedures Template

Small Business Loan Resources from SBA:

• Paycheck Protection Program - This loan program provides loan forgiveness for retaining employees by temporarily expanding the traditional SBA 7(a) loan program. Apply through lender.
• SBA Express Bridge Loans - Enables small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 quickly. Apply through current SBA Express lender.
• SBA Debt Relief - The SBA is providing a financial reprieve to small businesses during the COVID-19 pandemic.
• Export Express loan program allows access to capital quickly for businesses that need financing up to $500,000. Businesses can apply for a line of credit or term note prior to finalizing an export sale or while pursuing opportunities overseas, such as identifying a new overseas customer should an export sale be lost due to COVID-19.
• Export Working Capital program enables small businesses to fulfill export orders and finance international sales by providing revolving lines of credit or transaction-based financing of up to $5 million. Businesses could use a loan to obtain or retain overseas customers by offering attractive payment terms.
• International Trade loan program helps small businesses engaged in international trade to retool or expand to better compete and react to changing business conditions. It can also help exporting firms to expand their sales to new markets or to re-shore operations back to the U.S.

Beware of Scams and Fraud Schemes

The Office of Inspector General recognizes that we are facing unprecedented times and is alerting the public about potential fraud schemes related to economic stimulus programs offered by the U.S. Small Business Administration in response to the Novel Coronavirus Pandemic (COVID-19). The Coronavirus Aid, Relief, and Economic Security (CARES) Act, the largest financial assistance bill to date, includes provisions to help small businesses. Fraudsters have already begun targeting small business owners during these economically difficult times. Be on the lookout for grant fraud, loan fraud, and phishing.

SBA to Make Economic Injury Disaster Loans Available to U.S. Agricultural Businesses Impacted by COVID-19 Pandemic

U.S. Small Business Administration Administrator Jovita Carranza announced today that agricultural businesses are now eligible for SBA’s Economic Injury Disaster Loan (EIDL) and EIDL Advance programs. Read more...

Empowerment Grant for Small Businesses

(May 2, 2020) The State Treasurer’s Office of Economic Empowerment (OEE) is proud to offer The Empowerment Grant for Small Businesses as an acknowledgement of the devastating economic impact that the COVID -19 pandemic has had on the Massachusetts small business community. The Empowerment Grant Program aims to support the well-being and continuity of small businesses by providing access to capital and empowerment through engaging in OEE resources. Grant resources will be focused on small business owners serving Massachusetts Gateway Cities. The State Treasurer’s Office of Economic Empowerment encourages minority-owned, women-owned, veteran-owned, and/or immigrant-owned small businesses located in gateway communities to apply. Applicants are encouraged to illustrate how they can utilize funds to support initiatives that will allow them to continue operating during and/or after the COVID-19 pandemic. Applicants may request up to $2,500 for the proposed need. Application deadline is May 29, 2020. Click here for details.

SBA Updates May 13 & 14, 2020 -  Extension of Limited Safe Harbor with Respect to Certification Concerning Need for PPP Loan Request

Requirements for Loan Increases for Partnerships or Seasonal Employers

• Copyright and Your Business's Creative Works: How Copyright Impacts You - September 1 @ 12pm EDT
• Copyright Infringement: Criminal Investigations and Prosecutions - September 3 @ 3pm EDT
• Trademark Basics: What Every Small Business Should Know Now, Not Later - September 8 @ 12pm EDT
• Patent Basics and USPTO Resources: What Every Small Business Should Know When Developing their Business Plan and Moving Forward - September 10 @ 3pm EDT
• Protecting Your Company's Trade Secrets - September 15 @ 12pm EDT
• Protecting U.S. Intellectual Property Overseas - September 24 @ 3pm EDT
• Trademark Infringement: Criminal Investigations and Prosecutions - October 6 @ 12pm EDT