Loans For Small Business
Summary of cares act resources for small business
Small businesses are facing an unprecedented economic disruption due to the Coronavirus (COVID-19) outbreak. On Friday, March 27, 2020, the President signed into law the CARES Act, which contains $376 billion in relief for American workers and small businesses. The CARES Act established several new Covid-19 temporary relief options in addition to traditional SBA resources.
Small business administration (sba) covid-19 relief options
Payroll Protection Program
• Loan forgiveness designed to provide direct incentive for retaining employees
• Expansion of the traditional 7(a) loan program
• SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities.
• Applications begin April 3, 2020 – June 30, 2020
• Contact an SBA lender to apply
Economic Injury Disaster Loan
• Loan advance of up to $10,000 for businesses experiencing a loss of revenue
• Loan advance does not have to be repaid
• Available for businesses with less than 500 employees and some non-profits
• To apply for a COVID-19 Economic Injury Disaster Loan and loan advance, click here.
Express Bridge Loan Pilot Program
• Allows businesses with a business relationship with an SBA Express Lender to access $25,000 quickly
• Help with temporary loss of revenue or used to bridge the gap while applying for an Economic Injury Disaster Loan
• Loan will be repaid in full or in part by proceeds from the EIDL loan
SBA Debt Relief
• SBA will automatically pay the principal, interest, and fees of current 7(a), 504, and microloans for 6 months
• SBA will also automatically pay the principal, interest, and fees of new 7(a), 504, and microloans issued prior to September 27, 2020.
Please visit SBA’s website for more details. https://www.sba.gov/funding-programs/loans/coronavirus-relief-options
Preparing to apply
As you prepare to submit your application, the following financial/accounting data and information will most likely be required. You should have these documents ready:
- Written narrative statement justifying the nature and scope of economic injury and how/why nature of business was adversely impacted by the Coronavirus (one page/no more than two), such loss of revenues, cancelled contracts, interrupted supply chain, etc.
- Current Accounts Payable and Accounts Receivable Aging as of date of filing for the loan
- Three (3) years’ 1040 Federal Income Tax Returns for the business & owners
- Three (3) years’ company FYE Income Statement and Balance Sheet and latest YTD Financial Statements (Company prepared)
- Company and Owners’ Debt Schedule Tables [e.g., Lender, original loan amt., date, current balance, interest rate (F or V?), collateral, purpose of loan, guarantors, status (e.g., current or past due with explanation) per row in table]
- Monthly (reasonably detailed) two (2) years cash flow projections
- Three (3) years’ Monthly Sales History up to date of filing for loan
- Current copies of owners’ credit reports from the three (3) credit bureaus with explanations for any negative reports
- Owners’ Personal Financial Statements (SBA Form 413)
- SBA Form of Personal History for each (10% or more) owner
For questions about or relating to an EIDL loan application please contact the SBA disaster assistance customer service center. Call 1-800-659-2955 (TTY: 1-800-877-8339) or e-mail firstname.lastname@example.org.
Additional Information About Disaster Loans
0% Interest Loan Program
Through a partnership with LiftFund, the City of San Antonio helps make 0% interest loans available to qualifying local small, minority, and women-owned businesses. Loans range from $500 to $100,000 and can be used to help start-up or existing business.
For more information, go to: https://www.liftfund.com/loans/
Unemployment Benefits Information
Texas Unemployment Insurance Information for Employers (PDF) - 3/26/2020
Texas Unemployment Insurance Information for Individuals (PDF) - 3/26/2020
Información sobre el Seguro de Desempleo para individuos - Español (PDF) - 3/27/2020
Effective immediately, TWC asks that Texans use their area code to find their proposed call and access times listed below. See below chart for recommended call and access times:
Recommended Call and Access Times:
|Area codes beginning with 9
|| Mon-Wed-Fri 8:00 a.m. - Noon
|Area codes beginning with 3, 4, 5, 6
||Mon-Wed-Fri 1:00 p.m. - 5:00 p.m.
|Area codes beginning with, 7, 8
||Tues-Thurs-Sat 8:00 a.m. - Noon
|Area codes beginning with 2
||Tues-Thurs-Sat 1:00 p.m. - 5:00 p.m.
Please note: If you are having trouble getting through to the Unemployment Benefit Services line (800-939-6631) or on the TWC website, please keep trying. TWC has confirmed they will backdate your claim to your initial date of unemployment if your initial claim is delayed because of difficulty accessing the system.
Those seeking to apply for Unemployment Benefits will need to submit an application.
You will need the following:
- Last employer's business name and address
- First and last dates (month, day and year) you worked for your last employer
- Number of hours worked and pay rate if you worked this week (including Sunday)
- Information related to your normal wage
- Alien Registration Number (if not a U.S. citizen or national)
Small business assistance for employees facing layoff or furlough
At present, the federal and state government have not changed any laws or rules concerning unemployment benefits during the pandemic. However, U.S. Department of Labor guidance provides that federal law permits significant flexibility for states to provide Unemployment Insurance (UI) services related to COVID-19. Based on this, TWC will be waiving work search requirements for all claimants and the waiting week for those claimants affected by COVID-19. Also, Extended Benefits (EB) and Disaster Unemployment Assistance (DUA) are not available at this time.
Mass Claims Program
If you have to close your business either temporarily or permanently and need to lay off employees, you may be able to submit a mass claim for unemployment benefits on their behalf. The Mass Claims program streamlines the unemployment benefit claims process for employers faced with either temporary or permanent layoffs. Employers can submit basic worker information on behalf of their employees to initiate claims for unemployment benefits. You can submit a mass claim request to Employer Benefits Services 24 hours a day, seven days a week.
For more information, see Mass Claims for Unemployment Benefits or contact TWC’s Mass Claims Coordinator at 512-463-2999.
Shared Work Program
If your business has slowed down due to the pandemic and you need to reduce employee working hours, you may be able to avoid laying off employees by submitting a shared work plan. The Shared Work program provides Texas employers with an alternative to layoffs and helps employers and employees withstand a slowdown in business.
The Shared Work program allows employers to:
- Supplement their employees’ wages lost because of reduced work hours with partial unemployment benefits.
- Reduce normal weekly work hours for employees in an affected unit by at least 10 percent but not more than 40 percent. The reduction must affect at least 10 percent of the employees in that unit.
For more information, please see TWC’s Shared Work web page, or contact the Shared Work Department at 512-340-4337.
Rapid Response Services
Through the Texas Workforce Commission (TWC), Workforce Solutions Alamo provides immediate on-site services for both employees and employers. Rapid Response Services and activities are early-intervention services designed to enable workers affected by closures or layoffs to transition to new employment as quickly as possible.
Rapid Response Services are tailored to each company and begin upon receipt of:
- A Worker Adjustment and Retraining Notification Act (WARN) notice
- A public announcement (media, newspaper or radio station)
- A Trade Adjustment Assistance petition
- Other information that a permanent plant closure or mass layoff is planned (such as the employer voluntarily notifying the WSA Board or TWC of an impending layoff)
- Or in the wake of a natural or other disaster resulting in mass job dislocation
Workforce Solutions Alamo provides outplacement services to work closely with you to plan and coordinate for layoffs and closings. They provide immediate services to assist employees who are facing job loss. Services include the following:
- Assistance looking for a job through WorkInTexas.com, the state’s premier job search website
Other services include job application and resume writing, interviewing skills and effective interviewing techniques
- How to Apply for Unemployment Insurance
- Labor Market Information
- Stress & Financial Management Seminars
- Funding for skills training in targeting occupations in demand growing industries in the Alamo Area *(subject to program eligibility)
Other Assistance from Workforce Solutions Alamo
WSA can help with a variety of other programs based on the employers need.
For more information please contact:
(210) 224-HELP (4357)
WSA Video Library
Videos showing step by step process to access a variety of resources including:
- Applying for unemployment benefits
- Registering for Work in Texas
- Job search tips (resumes, interview, etc.)
New videos will be added regularly.
Additional Services: https://www.workforcesolutionsalamo.org/
TWC Ombudsman: For information and complaint resolution regarding all TWC services, contact the TWC Ombudsman:
Mail written complaints or requests to:
Texas Workforce Commission
101 E 15th St, Rm 370
Austin, TX 78778-000
Small Business Resource Partners
Launch SA is San Antonio's fueling center for entrepreneurs and small businesses. Staff members are available and can provide insights to help address specific challenges.
To connect: https://launchsa.org/contact/request-assistance/
Maestro Entrepreneur Center is committed to helping small businesses accelerate growth beyond the million-dollar revenue threshold.
To connect: https://maestrocenter.org/
Help From The San Antonio Economic Development Foundation
The San Antonio Economic Development Foundation (SAEDF) offers resources for employers and workers, including access to job boards and online learning tools.
Small businesses are also encouraged to create a contingency plan. The U.S. Chamber of Commerce Offers guidance online.
Shared Work Program
The Texas Workforce Commission (TWC) encourages employers to enroll in the Shared Work program as an alternative to layoffs. The voluntary Shared Work program was developed to help Texas employers and employees withstand a slowdown in business such as the impact of COVID-19.
For more information visit: https://twc.texas.gov/businesses/shared-work
Legal Tips For Small Businesses
As a small business owner, you may be finding that COVID-19 and its effects present unprecedented issues with contract compliance. In considering a party’s performance under a contract, there may be several clauses built into your agreements that might be invoked to assist your small business.
Review your agreement for force majeure clauses – Force majeure clauses may be triggered when extraordinary events, sometimes called Acts of God, prevent a party from being able to fulfill its contractual obligations. Monitor the changing condition of the crisis and make note of government declarations and states of emergencies that making performance of your obligations impossible. Be aware, though, that an increased cost to perform your obligations or the likelihood of a poor performance may not be enough to invoke a force majeure clause.
Consider having an insurance specialist review your insurance policies – Your agreement may require that you carry business interruption insurance or other coverages that may apply to the presence of COVID-19. Review your policy for language about communicable or infectious diseases, or conversely, exclusions related to virus-related losses. It is best, if possible, to have an independent third party review the policy, rather than your broker or insurance company.
Consider sitting back down at the table – You and the other party to the agreement may be able to discuss whether there are alternative means to perform contractual obligations. The other party may be amenable to adjust performance under the circumstances, including extended deadlines or partial performance of obligations.
*Please note that contractual clauses can be interpreted differently, so it is important to discuss your situation with an attorney, whether you are seeking to enforce or excuse performance under your contract.
To learn more: https://www.liftfund.com/loans/
Resources For The Food And Beverage Industry
The City of San Antonio, as a UNESCO Creative City of Gastronomy, remains committed to the local food and beverage industry during the COVID-19 pandemic by providing critical disaster-relief information. If you have other additional, relevant information, please contact the World Heritage Office at email@example.com.
Supporting san antonio restaurants
Visit San Antonio has created a web page that highlights restaurants providing alternative dining options such as take-out, delivery, and drive-thru services.If you’d like to include your restaurant on this list, email firstname.lastname@example.org with:
- Business name
- Physical address
- Phone number
Other Resources For To-Go Restaurants:
San Antonio Restaurant Gift Cards
Houston Street Charities and San Antonio Cocktail Conference have created a one-stop shopping website for San Antonio restaurant gift card purchases. If you have a restaurant that you'd like to have included on this site, please contact Cathy Siegel at email@example.com
Disaster Relief Initiatives For Food And Beverage Industry
Relief funds for restaurant workers
More Information And Resources
COVID-19 Information Webinars
For calendar of upcoming webinars about COVID-19 as it relates to the business community, please visit the City of San Antonio's Economic Development Department WEBSITE.