Aloha,
Just wanted to share that the SBA has COVID19 loan programs to help small businesses with employees, self-employed, homeowners and renters. Some states have in addition to the federal SBA offering (EIDL / PPP loan programs) offer relief loan programs that may be helpful. You can copy and paste the info below and send as needed.
Email Subject: SBA EIDL / PPP Loan information as of 4/3/20Hi,
In case you want to share this SBA loan info with your other business contacts, homeowners or renters. I've attached a writeup with links and attachments. This is the shortest I could do based on the current info. When you forward it, please remove my email address. Basically, if they read the info and visit the links (i.e. sba.gov), they should have the tools to stay current.
Here is the current SBA loan program info as of 4/3/20.
All states / US Territories qualify for the federal SBA programs businesses and residents. These loan offerings are for businesses with less than 500 employees, self-employed, homeowners and renters.
How to contact your local SBA office:
https://www.sba.gov/content/find-local-sba-officePurpose of loans: To provide small businesses with operating capital during this shutdown time. To keep employees on payroll instead of filing for low earnings or unemployment.
Employees are kept on payroll with same employer benefits.
There are several SBA COVID loan programs. This writeup is regarding the SBA EIDL & PPP programs. The other programs have higher interest rates and other requirements.
NOTE: When applying directly to a bank, ONLY use an SBA financial lender. As of 4/3/20, Hawaii has 5 banks and 1 credit union that are SBA approved lenders. If your bank is not an SBA approved lender, ask them who they recommend or go to one of the banks/credit unions on the list below.
Type of loans with 2 different submission instructions – read carefully
1. EIDL / $10K grant program: Emergency Injury Disaster Loan
Rate: 3.75%
Term: 30 years
SBA will contact you with further instructions / $10K grant may be provided even if the EIDL loan is denied.
Online info required:
- FEIN# or SS business used #
- 2019 Total gross revenue
- 2019 Total cost of goods
Apply directly to the SBA to start loan consideration process:
https://covid19relief.sba.gov/#/The SBA will email you if your loan is approved and for how much or is denied.
See FAQ sheet for more details or go to SBA.gov. – see attached word document for more info.
2. PPP – Paycheck Protection Program
Rate: 1.0%
Term: 2 years
Forgiveness factor: Payroll and other business requirements must be met. See attachments for more details or go to SBA.gov. Loan documentation requirements are listed on the bank’s websites.
Application documents – see the SBA lender (bank credit union) website for more details. Then contact your accountant/CPA for assistance.
You should be received an email from your bank regarding how to apply for the PPP loan as of 4/3/20:
Apply directly to an SBA approved lender bank/credit union to start loan process.
See FAQ sheet for more details or go to SBA.gov. – see attached word document for more info.
NOTE: If your current bank is not an SBA approved lender, check with your local bank websites in your region. The SBA is working on adding more lenders to this list, but at this time, these are the only approved SBA lenders. Banks have been emailing their customers their links to apply for the PPP SBA loan.
3. Homeowner COVID disaster relief (part of the EIDL program):
EIDL / *$10K grant program: Emergency Injury Disaster Loan
Rate: 3.75%
Term: 30 years
SBA will contact you on how to proceed
Apply directly to the SBA to start loan consideration process:
https://covid19relief.sba.gov/#/See FAQ sheet for more details or go to SBA.gov. Link:
SBA.gov - COVID-19 Loan Programs4. Renter COVID disaster relief (part of the EIDL program)
EIDL / *$10K grant program: Emergency Injury Disaster Loan
Rate: 3.75%
Term: 30 years
SBA will contact you on how to proceed
Apply directly to the SBA to start loan consideration process:
https://covid19relief.sba.gov/#/See FAQ sheet for more details or go to SBA.gov.
*Note sure if the $10K grant option applies to Homeowner/Renter applications.
FYI: Tax credits offerings are still being determined. Future phases of the stimulus bill are currently under consideration. This information is based on the congress approved phase packages 1, 2 & 3. Phases 4 & 5 are currently under congressional consideration.
Please keep up with the latest information at: SBA.gov. and the bank you process your loans through.
Helpful FAQ link:
FAQ - The Cares Act (COVID-19 SBA loan info)It is vital that we individually stay informed. Check for updates at the sba.gov website.
Hope this helps.