Learn how Hispanic businesses are pivoting post-pandemic in today’s SBA virtual event

Join the SBA today, October 14 , 2021 from 12:00 PM – 1:00 PM EDT to learn how Hispanic businesses are pivoting post-pandemic. 

Hispanic Heritage Month is a time dedicated each year to celebrating the successes and accomplishments of Hispanic individuals. As the fastest growing population in the U.S., the Hispanic population is a powerhouse with the ability to shape our nation’s future economy and market.

Along with the population, Latino small businesses are growing too. The 2020 State of Latino Entrepreneurship Report revealed that the number of Latino-owned businesses has grown 34% over the last 10 years compared to just 1% for all other small businesses.

Today, the U.S. Small Business Administration (SBA) is celebrating Hispanic Heritage Month with virtual event: Testimonies of Excellence & Pride (Excelencia y Orgullo).The event will celebrate the accomplishments of Hispanic business owners as they share their stories of facing adversity and challenges on their way to success. 

Beginning at noon, the event will open with a panel discussion where SBA Administrator Isabella Casillas Guzman will lead a discussion with Hispanic business owners to hear how they have successfully pivoted and adapted throughout the pandemic. Panelists will share truths of how they have overcome challenges, and how they face this adversity with “grit and ganas (a drive to succeed)”. Following this discussion, SBA Associate Administrators Bibi Hidalgo and Mark Madrid will have a candid talk with Hispanic business leader Ana Valdez, executive president of The Latino Donor Collaborative, about the state of Hispanic entrepreneurship in the United States.

Celebrate Hispanic Heritage Month and learn how Hispanic businesses are pivoting post-pandemic. (Photo credit: SBA)

Register Now: Testimonies of Excellence & Pride (Excelencia y Orgullo)Today October 14, 2021 12:00 PM – 1:00 PM EDT

 “Over the past 18 months, our nation’s 32 million small businesses and innovative startups have faced unprecedented adversity and shown incredible resilience. However, Latinx entrepreneurs -– despite starting businesses faster than at any other time in our history –continue to struggle because of historic inequities and persistent barriers to the capital, networks, and markets they need to sustain and grow their businesses. As a former entrepreneur myself, I understand what a difference we can make by building equity, breaking down barriers, and bringing new investments and opportunities to historically underserved communities,” said  SBA Administrator Isabella Casillas Guzman in a press release. “As we celebrate Hispanic Heritage Month, let us continue to embrace the extraordinary entrepreneurial spirit and rising achievement of America’s Latinx communities and the innovative spark they bring to countless industrial centers, innovation hubs, and Main Streets by helping them start, grow and thrive.”

About the U.S. Small Business Administration

The U.S. Small Business Administration makes the American dream of business ownership a reality. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.

Good news for small business from the Economic Injury Disaster Loan Program

The Small Business Administration (SBA) has announced improvements to the COVID Economic Injury Disaster Loan (EIDL) program to better meet the needs of small businesses, and industries hit hardest by the pandemic. With the Delta variant, the struggle is far from over and many small businesses across the country are still in need of financial relief.  

The COVID Economic Injury Disaster Loan program is on of many SBA programs offering assistance to businesses in need. The program is a federal disaster relief loan designed to better serve and support our small business communities still reeling from the pandemic, especially hard-hit sectors such as restaurants, gyms, and hotels. 

SBA Administrator Isabella Casillas Guzman. (Photo Source)

“The SBA’s COVID Economic Injury Disaster Loan program offers a lifeline to millions of small businesses who are still being impacted by the pandemic,” SBA Administrator Isabella Casillas Guzman said in a press release

“We’ve retooled this critical program – increasing the borrowing limit to $2 million, offering 24 months of deferment, and expanding flexibility to allow borrowers to pay down higher-interest business debt. We have also ramped up our outreach efforts to ensure we’re connecting with our smallest businesses as well as those from low-income communities who may also be eligible for the companion COVID EIDL Targeted Advance and Supplemental Advance grants totaling up to $15,000.  Our mission-driven SBA team has been working around the clock to make the loan review process as user-friendly as possible to ensure every entrepreneur who needs help can get the capital they need to reopen, recover and rebuild,” Guzman continued. 

The SBA is ready to receive new applications immediately from small businesses looking to take advantage of these new policy changes.

Changes to the COVID EIDL program

The low-interest and long-term COVID EIDL program has helped millions of small business owners survive the impacts of the pandemic with its flexibility and affordability – allowing entrepreneurs to hire and retain employees, and purchase needed equipment and inventory.  

The SBA’s newest improvements will make the program even more flexible to meet the needs of struggling business owners. New improvements include: 

  • The SBA has increased the amount of funding that can be borrowed from $500,000 to $2 million for qualified applicants.  
  • The SBA has authorized COVID EIDL funds to be used to pay and prepay commercial debt and make payments on federal business debt in recognition of the financial reality many small businesses are facing during this crisis.
  • Small businesses will have time to recover from COVID-19 impacts by further deferring payments – up to two years after your loan origination date. 
  • Additionally, to help ensure the smallest businesses can access this crucial capital, the SBA has created a one-month exclusive window for businesses requesting $500,000. During this time, approvals and disbursements will focus 100% on loans $500,000 or less until October 8th, upon which approvals and disbursements will be opened up to all loan sizes.
  • Finally, to ease the COVID EIDL application process for small businesses, the SBA has established more simplified affiliation requirements to model those of the Restaurant Revitalization Fund.

You might be interested: How to still apply for Covid-19 Business Tax Credits ending Sept. 30

How to apply

Eligible small businesses, nonprofits, and agricultural businesses in all U.S. states and territories can apply. Visit www.sba.gov/eidl to learn more about eligibility and application requirements. The last day that applications may be received is December 31, 2021. All applicants should file their applications as soon as possible.

For additional information on COVID EIDL and other recovery programs please visit www.sba.gov/relief.

“As your SBA Administrator and a former small business owner myself, my goal is to make you, America’s small businesses, feel like the giants you are in our economy with programs that meet you where you are,” said Guzman.  

All business owners who have received previous loans through the SBA’s Paycheck Protection Program (PPP), Restaurant Revitalization Fund (RRF), or Shuttered Venue Operators Grant (SVOG) can still benefit from COVID EIDL. For no-cost assistance for the COVID EIDL program, and every other SBA program, go to www.sba.gov/local-assistance and connect with a local resource partner near you.

SBA: How these cities support Latinx small businesses, J.Lo. fireside chat

The SBA (U.S. Small Business Administration) Administrator Isabella Casillas Guzman announced today the full speaker slate for National Small Business Week, including entrepreneur Mark Cuban, Chef José Andrés, and White House Senior Advisor and Director of the Office of Public Engagement Cedric Richmond.  The National Small Business Week Virtual Summit takes place September 13-15, 2021.

 

Photo Credits: Mark Cuban (Wikimedia Commons – Gage Skidmore from Peoria, AZ, United States of America – Mark Cuban & Doug Ducey) –  Jennifer Lopez (Wikipedia Commons dvsross – Jennifer Lopez at GLAAD Media Awards.jpg) – Jose Andres (Wikimedia Commons David Shankbone – Own work José Andrés Puerta at the 2012 Time 100 gala.)

The theme for this year’s event is Celebrating Resilience and Renewal, spotlighting the resilience of America’s entrepreneurs and the renewal of the small business economy as they build back better from the economic crisis brought on by the pandemic.

Administrator Guzman will kick off National Small Business Week with an opening address on September 13. In addition to this and the new keynote speakers, other panelists and participants will include Mayor Eric Garcetti, Los Angeles, Calif.; Mayor Steve Adler, Austin, Texas; Mayor Regina Romero, Tucson, Ariz.; Mayor Lori E. Lightfoot, Chicago, Ill.; Tarik Brooks, President of Combs Enterprises, and Oisin Hanrahan, Chief Executive Officer of Angi.

Here’s how you can participate:

Photo of Jennifer Lopez

Register for the National Small Business Week Virtual Summit, September 13-15 for business tips, chat with other small business owners and connect with industry experts.

Also, hear from guest speaker Jennifer Lopez as she joins Administrator Isabella Casillas Guzman for “Pathways to Entrepreneurship: A Fireside Chat” on Tuesday, September 14.

For more information, see the Virtual Summit agenda.

Photo credit SBA

NSBW Virtual Summit Speakers Line up

Monday, September 13 – “Getting Back on Track: Resources to Build Back Better”

  • Opening Keynote Address by: Isabella Casillas Guzman, SBA Administrator (11-11:30 a.m. EDT)
  • Keynote Address by: Cedric Richmond, White House Senior Advisor and Director of the Office of Public Engagement (11-11:30 a.m. EDT)
  • Keynote Address by: Mark Cuban, Entrepreneur (11-11:30 a.m. EDT)
  • “Life after COVID – A Fireside Chat with SBA Administrator Isabella Casillas Guzman and Restaurateur Chef José Andrés”- José Andrés, Chef, Restaurateur and Founder of World Central Kitchen (12:40-1:10 p.m. EDT)

Tuesday, September 14 –Better Serving Small Businesses and Underserved Communities

  • “Support Latino Biz: How these Mayors are Leading the Way” – (3:40-4:40 p.m. EDT)
    Participants: Mayor Eric Garcetti, Los Angeles, Calif.; Mayor Steve Adler, Austin, Texas; Mayor Regina Romero, Tucson, Ariz.; Mayor Lori E. Lightfoot, Chicago, Ill.
    Moderator: Antwaun Griffin, Chief of Staff for the SBA
  • Special Remarks by: Tarik Brooks, Chief Operating Officer of Combs Enterprises, will speak on the importance of Black and Brown communities coming together to support each other. (4:45-5:00 p.m. EDT)

Wednesday, September 15 “Continuance to Support Resilience and Renewal”

  • Special Remarks by: Oisin Hanrahan, Chief Executive Officer of Angi (formerly Angie’s List), will share small business experiences as well as trends and insights on how Angi has maneuvered through the pandemic and positioned for the future.

Biographies for Keynote Speakers

Cedric Richmond: White House Senior Advisor and Director of the Office of Public Engagement
Cedric Richmond is an attorney and former Democratic Congressman for Louisiana’s 2nd Congressional District from 2011-2021. Richmond now serves as senior advisor to President Biden and director of the White House Office of Public Engagement.

Mark Cuban: Entrepreneur
Mark Cuban is an entrepreneur, television personality, and media proprietor. He is the owner of the Dallas Mavericks professional basketball team of the National Basketball Association, co-owner of 2929 Entertainment, and chairman of AXS-TV. He is also one of the main “shark” investors on the hit ABC reality TV series “Shark Tank.”

José Andrés: Chef, Restaurateur, and Founder of World Central Kitchen
José Andrés is a chef, restaurateur, and founder of World Central Kitchen, a non-profit devoted to providing meals in the wake of natural disasters.  He is often credited with bringing the small plates dining concept to America. He owns restaurants in Washington, D.C.; Los Angeles, Calif.; Las Vegas, Nev.; South Beach Miami and Orlando, Fla.; Chicago, Ill., and New York, N.Y.  Andrés received the National Humanities Medal at a White House ceremony in 2016. In 2018, Andrés’ World Central Kitchen provided meals to furloughed federal employees during the federal government shutdown.

You might be interested: Isabella Casillas Guzman confirmed as new SBA Administrator, a big win for small businesses 

Administrator Guzman announced National Small Business Week 2021 in a news release last month. The free, three-day conference will take place in a virtual atrium, which will showcase a series of educational panels on best practices for small businesses to pivot and recover in a changing economy. NSBW events this year will also provide a forum where business owners will be able to get expert advice, learn new business strategies, connect with industry experts, and meet other business owners as they look to pivot and recover. Additional speakers will be announced. Details and information will be posted on https://www.sba.gov/NSBW  as events are finalized.

To register for the National Small Business Week Virtual Summit and participate in summit workshops, please visit http://www.sba.gov/NSBW. All events will be live-streamed and will use the event hashtag #SmallBusinessWeek.

National Small Business Week delivers virtual summit for post-COVID renewal resources

National Small Business Week commences with three-day free virtual summit from September 13 – 15, 2021. 

Hosted by the U.S. Small Business Administration (SBA), virtual summit will focus on the resilience and renewal of small businesses as they build back from the economic crisis brought on by the COVID-19 pandemic. 

Photo by Sigmund on Unsplash

The National Small Business Week virtual summit will feature a variety of virtual events and activities including educational panels providing tools and practices for entrepreneurs and small businesses looking to pivot and recover post-COVID. With panels such as “The Importance of Black and Brown Community: Coming Together to Support Hispanic Heritage Month, Black History Month, and Small Business Day”, “Empowering the Veteran and Military Small Business Community”, “Unlocking the Doors to Access for Black-Owned Businesses: Funders and Founders Share Their Real-Life Stories” and more on the agenda, the diverse and inclusive summit offers resources and tools to support all business owners expand and succeed. 

Register now for the free three-day virtual summit. 

SBA Administrator Isabella Casillas Guzman. (Photo Source)

“Over the last 16 months, we have seen the incredible determination and ingenuity of small businesses across the nation.  During NSBW, we will honor and celebrate their impact on our economy and strengthening of communities as we look towards recovery,” said SBA Administrator Isabella Casillas Guzman in a video message

As the 27th Administrator of the U.S. Small Business Administration, Guzman represents the more than 30 million U.S. small businesses and is committed to helping small business owners and entrepreneurs start, grow and be resilient. 

The SBA works to empower entrepreneurs and small business owners by providing the resources and support they need to start, grow or expand their businesses, or recover from disaster. The organization delivers services through its extensive network of SBA field offices and partnerships with public and private organizations. 

You might be interested: Latina Leaders share small business post-Covid recovery resources 

“NSBW is the perfect time for small businesses across the nation to network and learn about the many services and programs at the U.S. Small Business Administration, including our no-cost business counseling and mentoring opportunities available via our district offices and resource partners. We look forward to celebrating with you as we rebuild our economy and help our small businesses build back better,” Administrator Guzman added. 

About SBA

The U.S. Small Business Administration (SBA) works to ignite change and spark action so small businesses can confidently start, grow, expand, or recover. Created in 1953, the U.S. Small Business Administration continues to help small business owners and entrepreneurs pursue the American dream. SBA is the only cabinet-level federal agency fully dedicated to small business and provides counseling, capital, and contracting expertise as the nation’s only go-to resource and voice for small businesses.

loans for Latina entrepreneurs

Second round of PPP loans: Why you should act now and where to go

The U.S. Small Business Administration (SBA) announced that the Paycheck Protection Program (Second Round of PPP loans) will re-open the week of January 11 for new borrowers and certain existing PPP borrowers. To promote access to capital, initially only community financial institutions will be able to make First Draw PPP Loans on Monday, January 11, and Second Draw PPP Loans on Wednesday, January 13.

If you wish to begin preparing your application, you can download the following PPP borrower application forms to see the information that will be requested from you when you apply with a lender. Contact your local lender today!

second round of PPP loans

The second round of PPP loans will open to all participating lenders shortly thereafter. Updated PPP guidance outlining Program changes to enhance its effectiveness and accessibility was released on January 6 in accordance with the Economic Aid to Hard-Hit Small Businesses, Non-Profits, and Venues Act.

This round of the PPP continues to prioritize millions of Americans employed by small businesses by authorizing up to $284 billion toward job retention and certain other expenses through March 31, 2021, and by allowing certain existing PPP borrowers to apply for a Second Draw PPP Loan.

“The historically successful Paycheck Protection Program served as an economic lifeline to millions of small businesses and their employees when they needed it most,” said Administrator Jovita Carranza.  “Today’s guidance builds on the success of the program and adapts to the changing needs of small business owners by providing targeted relief and a simpler forgiveness process to ensure their path to recovery.”

“The Paycheck Protection Program has successfully provided 5.2 million loans worth $525 billion to America’s small businesses, supporting more than 51 million jobs,” said Treasury Secretary Steven T. Mnuchin.  “This updated guidance enhances the PPP’s targeted relief to small businesses most impacted by COVID-19.  We are committed to implementing this round of PPP quickly to continue supporting American small businesses and their workers.”

Why you should act now: 

  • PPP borrowers can set their second round of PPP loans’ covered period to be any length between 8 and 24 weeks to best meet their business needs;
  • PPP loans will cover additional expenses, including operations expenditures, property damage costs, supplier costs, and worker protection expenditures;
  • The Program’s eligibility is expanded to include 501(c)(6)s, housing cooperatives, destination marketing organizations, among other types of organizations;
  • The PPP provides greater flexibility for seasonal employees;
  • Certain existing PPP borrowers can request to modify their First Draw PPP Loan amount; and
  • Certain existing PPP borrowers are now eligible to apply for a Second round of PPP Loans.

Who is eligible for this second round of PPP Loans:

  • Previously received a First Draw PPP Loan and will or has used the full amount only for authorized uses;
  • Has no more than 300 employees; and
  • Can demonstrate at least a 25% reduction in gross receipts between comparable quarters in 2019 and 2020.

You might be interested: 2021 Update to PPP loans and Employee Retention Tax Credit

loans for Latina entrepreneurs

Who can benefit the most with this round:

To efficiently and effectively implement the Economic Aid Act and to ensure increased access to PPP for minority, underserved, veteran, and women-owned business concerns, SBA is undertaking the following steps:

  • Accept PPP loan applications only from community financial institutions for at least the first two days when the PPP loan portal re-opens;
  • Direct Lender Match borrower inquiries to small lenders who can aid traditionally underserved communities;
  • Match small businesses through Lender Match with Certified Development Companies (CDCs), Farm Credit System lenders, microloan intermediaries, and traditional smaller asset size lenders;
  • Continue setting aside dedicated hours to process and assist our smallest PPP lenders with their PPP loans;
  • Continue to strongly encourage CDFIs and minority-, women-, veteran-, and military-owned lenders to apply to become PPP lenders.

SBA will give full and prompt consideration to these applications to become PPP lenders consistent with program guidelines, including in cases where the lender does not meet all of the requirements listed on the updated SBA Form 3507.

Talk to your financial institution about this opportunity to quickly prepare your documents. We can also help with filling out your forms if you contact us at hello@latinasinbusiness.us 

additional paycheck protection program

Additional Paycheck Protection Program Loan (PPP) calculation for small business

Attention: Additional Paycheck Protection Program applications will be accepted by the SBA from participating lenders on Monday, April 27, 2020 at 10:30am EDT. Contact your financial institution right away!  If you need help, contact us at hello@latinasinbusiness.us/

(Photo credit Kelly-Sikkema-unsplash)

With the additional Paycheck Protection Plan funding provided by the new COVID-19 relief package, SBA will resume processing EIDL Loan and Advance applications that are already in the queue on a first come, first-served basis.

We will provide further information on the availability of the EIDL portal to receive new applications (including those from agricultural enterprises) as soon as possible.

This past week, an additional Paycheck Protection Program and Health Care Enhancement Act (let’s call it “CV3.5”) was approved by both houses and signed by the Presdeint. This new bill provides additional federal funding for small business programs and healthcare, including:

  • $60 billion in new SBA Paycheck Protection Program funding dedicated to small lenders and community-based financial institutions. These will directly help underserved small businesses and nonprofit organizations with a specific focus on rural, minority, and women-owned businesses.
  • $50 billion for the SBA’s Economic Injury Disaster Loan program.
  • $10 billion for the SBA’s Emergency Economic Injury Grant program.
  • $75 billion in emergency money for our healthcare system.
  • $25 billion in funding for testing and contact tracing capabilities.

Hanna Mori, Esq., State Director for U.S. Senator Cory Booker (Photo Courtesy Hanna Mori)

“Despite the successes in this bill, including $220 billion in additional funding that Senator Booker and his colleagues secured by forcing Leader McConnell to the negotiating table, we are still pushing for an additional stimulus bill to allocate funding to states and local governments who have been hardest hit by COVID-19, fix the regulatory framework of the SBA programs, and make sure money is going directly to individuals and families who are in desperate need,” said Hanna Mori, Esq., State Director for U.S. Senator Cory Booker.

Additional Paycheck Protection Program Loan Information

The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll.

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.

You can apply through any existing SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating. Other regulated lenders will be available to make these loans once they are approved and enrolled in the program. You should consult with your local lender as to whether it is participating in the program.

How to calculate maximum loan amounts – by business type

additional paycheck protection program

(Photo Credit Kelly-Sikkema-unsplash)

The Small Business Administration (SBA), in consultation with the Department of the Treasury, is providing this guidance to assist businesses in calculating their payroll costs for purposes of determining the amount of a Paycheck Protection Program (PPP) loan businesses can apply for.

Borrowers and lenders may rely on the guidance provided in this document as SBA’s interpretation of the CARES Act and of the Paycheck Protection Program Interim Final Rules. The U.S. government will not challenge lender PPP actions that conform to this guidance1 and to the PPP Interim Final Rules and any subsequent rulemaking in effect at the time.

  1. Question: I am self-employed and have no employees, how do I calculate my maximum PPP loan amount? (Note that PPP loan forgiveness amounts will depend, in part, on the total amount spent during the eight-week period following the first disbursement of the PPP loan.)

Answer: The following methodology should be used to calculate the maximum amount that can be borrowed if you are self-employed and have no employees, and your principal place of residence is in the United States, including if you are an independent contractor or operate a sole proprietorship (but not if you are a partner in a partnership):

  • Step 1: Find your 2019 IRS Form 1040 Schedule C line 31 net profit amount (if you have not yet filed a 2019 return, fill it out and compute the value). If this amount is over $100,000, reduce it to $100,000. If this amount is zero or less, you are not eligible for a PPP loan.
  • Step 2: Calculate the average monthly net profit amount (divide the amount from Step 1 by 12).
  • Step 3: Multiply the average monthly net profit amount from Step 2 by 2.5.
  • Step 4: Add the outstanding amount of any Economic Injury Disaster Loan (EIDL)

made between January 31, 2020 and April 3, 2020 that you seek to refinance, less the amount of any advance under an EIDL COVID-19 loan (because it does not have to be repaid).

Your 2019 IRS Form 1040 Schedule C must be provided to substantiate the applied-for PPP loan amount. You must also provide a 2019 IRS Form 1099-MISC detailing nonemployee compensation received (box 7), invoice, bank statement, or book of record establishing you were self-employed in 2019 and a 2020 invoice, bank statement, or book of record establishing you were in operation on February 15, 2020.

For additional information on how to calculate your specific loan situation, go there: How to Calculate Loan Amounts

You might be interested: COVID-19 Resources for minority and women small businesses

Apply for jobs at the SBA.gov

SBA.gov

financial assistance, Women's March on Washington

State by state financial assistance in response to harsh requirements for SBA loans

State by state financial assistance seems to be the only hope in this moment of COVID-19 crisis. The SBA loans harsh requirements are selective of which businesses are going to survive and which are going to close their doors forever. The real answer seems to be coming from state legislations and how each state government evaluates the needs of its constituents.

The NJ EDA is asking all small businesses to urgently participate in a survey to help make quick decisions on how to allocate funding. Fill out the survey at the end of the article if your business is in New Jersey.

Women's March on Washington

The Economic Injury Disaster Loans are no different from any other SBA response: good credit, collateral and ability to repay, in addition to a max 3.75% interest rate, are required in a moment in which uncertainty of the COVID-19 pandemic’s economic impact is the number one concern small businesses face.

This economic impact is not measurable in the way a natural disaster would be. There is not end in sight, and when it ends, there is no certainty of how long it would take for businesses to recover.

Other state bills are asking for more comprehensive financial assistance

In contrast, House Small Business Committee Chairwoman Nydia M. Velázquez (D-NY) introduced the COVID–19 Relief for Small Businesses Act of 2020, comprehensive legislation that would provide relief to small businesses facing consequences from the ongoing COVID-19 outbreak.

financial assistance

Congresswoman Nydia M. Velázquez (D-NY)

“After speaking with my Committee colleagues and hearing firsthand of the struggles facing countless small businesses due to the coronavirus pandemic, I am introducing sweeping legislation to tackle the economic hardship and fallout facing our nation’s employers and workers,” said Chairwoman Velázquez. “This bill offers across the board solutions from channeling capital to small businesses in need by providing zero-interest direct loans, grants, and loan debt relief, to increasing access to federal contracts, and equipping entrepreneurial development centers with the technology they need to serve entrepreneurs remotely.”

Key components of the bill include:

  • The creation of an SBA Business Stabilization Direct Loan Program that authorizes $100 billion to offer interest-free loans with up to 50% loan forgiveness to qualified employers.
  • The authorization of $100 billion to provide up to $100,000 in direct grants for small businesses impacted by COVID-19. These grants would be targeted to businesses that have had to close their doors temporarily due to the outbreak.
  • Immediate loan debt relief to current and new SBA borrowers.
  • Expediting and streamlining the SBA’s economic injury disaster loan program to ensure small businesses can access cash easier and faster.
  • The authorization of additional grant funding to allow SBA resource partners to ensure they can provide education and marketing materials to educate small business customers on the public health emergency and steps to protect the business and maintain operations.
  • Amending several contracting provisions to provide more opportunities for small businesses affected by the outbreak to quickly and efficiently be awarded government contracts.

Now compare these options with the actual SBA Economic Injury Loans:

To be eligible for EIDL assistance, New Jersey-based small businesses or private non-profit organizations must have sustained economic injury, as well as being located in a disaster-declared county or contiguous county, which all New Jersey counties currently are.

Credit Requirements

  • Credit History – Applicants must have a credit history acceptable to SBA.
  • Repayment – Applicants must show the ability to repay the loan.
  • Collateral – Collateral is required for all EIDL loans over $25,000. SBA takes real estate as collateral when it is available.
  • SBA will not decline a loan for lack of collateral, but SBA will require the borrower to pledge collateral that is available
  • The interest rate is determined by formulas set by law and is fixed for the life of the loan. The maximum interest rate for this program is 3.750 percent.
  • The law authorizes loan terms up to a maximum of 30 years. SBA will determine an appropriate installment payment based on the financial condition of each borrower, which in turn will determine the loan term.

lack of access to capital

In any case, we will have to wait and see how the response is state by state.

The problem is, families depending on their employers and small business owners themselves don’t have much time to wait. Thousands of small business have been force to close due to the quarantine.

The NJ Economic Development Authority  in partnership with the Office of the Governor of New Jersey, is working to develop programs and resources to support New Jersey’s business community during the COVID-19 outbreak.

SMALL-TO-MEDIUM ENTERPRISE (SME) FINANCIAL ASSISTANCE SURVEY

They’re seeking information from small-to-medium enterprise owners and leaders to inform the development of new programs and initiatives to support organizations during the COVID-19 outbreak.

The survey can be accessed at this link: https://www.surveymonkey.com/r/CVSupport.

They are trying to generate responses quickly as they will use this information to guide the development of short-term support that will be launched imminently.

You might be interested: Beyond COVID-19: Be proactive about your business cash flow

SBA Loan applications

If you want to take the plunge, here are the different ways the SBA is accepting applications. And good luck trying to enter the website!

Applicants may apply online, receive additional disaster assistance information and download applications at disasterloan.sba.gov/ela.

Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. Individuals who are deaf or hard-of-hearing may call (800) 877-8339.

Completed financial assistance applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155

Technical Assistance for Applying for SBA EIDL Loans

The State of New Jersey is currently developing plans to offer technical assistance to businesses that wish to apply for SBA disaster loans. As new information about these resources become available, it will be posted here.

Updated: March 20, 2020
Source: SBA Disaster Assistance in Response to the Coronavirus

 

Participants at 2016 Internet Marketing Week SBDCNJ - Rutgerts School o

Internet Marketing Week is back at Newark Rutgers School of Business

This year, New Jersey’s Internet Marketing Week #IMW2017 will be on Monday, October 9th –Thursday, October 12th from 5-9 p.m. at Rutgers Business School- 1 Washington Street, Newark, NJ.

Please have your businesses register as soon as possible by filling out the application form on the “Participant Applications” ticket type:  https://internetmarketingweek2017.eventbrite.com

Participants at 2016 Internet Marketing Week SBDCNJ - Rutgerts School of Business NJ

Participants at 2016 Internet Marketing Week NJSBDC E-Business Division – Rutgers University School of Business NJ

Business Learning Tree (BLT) is working along with the NJSBDC E-Business Division to provide superior quality programming to guide established small business owners and aspiring entrepreneurs. Our purpose is to lead the way for future community and economic development which will result in sustainable growth, job creation and prosperity.

Participants at 2016 Internet Marketing Week SBDCNJ - Rutgerts School of Business NJ

Sunny Kancherla, Director, NJSBDC E-Business Division with Participants at 2016 Internet Marketing Week SBDCNJ – Rutgers University School of Business NJ

For the past 4 years, our biggest event “Internet Marketing Week” provides Small Business Owners with the opportunity to recognize and harness the return of creating an intelligent digital strategy and leverage the power of investing in their online presence.  Winners from previous years include Scarlett Rocourt of “Wonder Curl”, Earlene Cruz of “Kitchen Connection.org”, and Pamela Roundtree of “New Body New Mind New Living”.

Since 2008, the NJSBDC’s popular E-Business Division, directed by BLT’s own, Sunny Kancherla, has championed and educated on the subject of Internet Marketing for nearly a decade helping entrepreneurs at all levels transform their small business challenges into opportunities.

Please have your businesses register as soon as possible by filling out the application form on the “Participant Applications” ticket type: https://internetmarketingweek2017.eventbrite.com

Participants at 2016 Internet Marketing Week SBDCNJ - Rutgers School of Business NJ

 

 

Sgt. Michallie Wesley, an operations noncommissioned officer in B Company, Brigade Special Troops Battalion, 2nd Advise and Assist Brigade, 1st Infantry Division, United States Division-Center, answers a question as a panelist taking part in an interactive discussion on the theme of "Women Serving in Combat" at Camp Liberty, Iraq, Wednesday, March 16, 2011 (U.S. Army photo by Sgt. Jennifer Sardam) (released)

Veteran’s Day: Veterans make great entrepreneurs

In the near term more than 250,000 service members a year will transition into civilian life and become veterans, according to the U.S. Small Business Administration (SBA). This means the economy will likely experience a significant increase in veteran-owned businesses.

veterans

Sgt. Michallie Wesley, an operations noncommissioned officer in B Company, Brigade Special Troops Battalion, 2nd Advise and Assist Brigade, 1st Infantry Division, United States Division-Center, answers a question as a panelist taking part in an interactive discussion on the theme of “Women Serving in Combat” at Camp Liberty, Iraq, Wednesday, March 16, 2011 (U.S. Army photo by Sgt. Jennifer Sardam) (released)

Veterans are 45 percent more likely to be self-employed than non-veterans, according to the agency, and about 2.4 million or 9 percent of all U.S. small businesses are veteran-owned, representing about $1 trillion in annual sales.

Many consider veterans to be the perfect entrepreneur. The Fire and Adjust website noted 10 reasons why veterans make good entrepreneurs: confidence, self-motivation, discipline, listening skills, determination, leadership, risk management, stress management, teamwork and focus.

“Veterans possess some of the most important skills needed to become successful entrepreneurs,” said Michele Markey, vice president of Kauffman FastTrac. “Leadership experience and the ability to calculate risk, manage teams and take initiative are invaluable characteristics of successful business owners.”

The following are some tips to help veteran entrepreneurs succeed in business:

  1. Leverage military training.

Through their years in service, veterans learned valuable skills relevant to running a business, including confidence, self motivation, discipline, listening, determination, leadership, risk management, stress management, teamwork and focus.

Veterans should make the most of their acquired skills and treat them as a competitive advantage. While these skills no longer mean making decisions that amount to the difference between life and death, they can be enlisted to keep a business alive and thriving.

  1. Set up a veteran-owned business

These days diversity programs extend beyond aiding minority- and women-owned programs. Programs within large corporations and government agencies assist veteran-owned and disabled-veteran-owned businesses. Veterans should seek out local, state and federal certifications that give priority to veteran-owned businesses.

  1. Check resources

Other organizations assist veteran-owned businesses. Check local SCOREchapters and the Boots to Business website to find resources that aid veteran-owned businesses.

  1. Seek out training

Running a business is not easy. Programs such as the one offered by Kauffman FastTrac or Goldman Sachs 10,000 Small Businesses can be beneficial. Veterans can also inquire about other training opportunities by contacting local community colleges, SCORE and the U.S. Department of Veterans Affairs.

  1. Network

Being an entrepreneur is a lonely job. Apart from accruing business-development advantages from actively networking, veterans can receive valuable mentoring from other former servicepeople. Such relationships can be beneficial for dealing with business matters and challenges arising from having been in active service.

The SBA helps entrepreneurs through its Small Business Development Center (or SBDC) program, providing management assistance to current and prospective small business owners. These centers offer one-stop assistance, including information and guidance, to individuals and small businesses in central and easily accessible branch locations.

*All graphs were extracted from the “2013 Minority Veterans Report” prepared by the National Center for Veterans Analysis and Statistics and published on August 2015by the NCVAS National Center for Veterans Analysis and Statistics.

Midshipman First Class Maia Molina-Schaefer, far right, is the first woman in Naval Academy history to compete in and win the annual brigade boxing championship. Also pictured from the left, are Cadet First Class Jessica C. Tomazic, U.S. Military Academy; Cadet First Class Cindy Nieves, U.S. Air Force Academy; and Cadet First Class Lily Zepeda, U.S. Coast Guard Academy. Photo by Rudi Williams

Midshipman First Class Maia Molina-Schaefer, far right, is the first woman in Naval Academy history to compete in and win the annual brigade boxing championship. Also pictured from the left, are Cadet First Class Jessica C. Tomazic, U.S. Military Academy; Cadet First Class Cindy Nieves, U.S. Air Force Academy; and Cadet First Class Lily Zepeda, U.S. Coast Guard Academy. (Photo by Rudi Williams)

Interesting facts about Women Veterans

  • As the share of women in the military increases, so does the share of veterans who are women. The 2010 Current Population Survey estimates that there are just over 22 million veterans, almost 1.8 million of whom are women (8%); and among the estimated 2.2 million post-9/11 veterans, more than 400,000 (19%) are women.
  • Today’s women veterans have served in every era dating back to World War II, when women in the Women’s Army Corps (WAC) and other voluntary divisions served in positions other than nurses for the first time.
  • Nationally, the number of women vets using Veterans Health Administration (VA) services has nearly doubled (PDF) in the past decade, and VA hospitals and clinics have scrambled to meet the needs of their new patients.
  • The share of Hispanics among women and men in the armed forces is similar (13% vs. 12%, respectively), and the share of military women who are Hispanic is smaller than that of Hispanic women ages 18-44 in the U.S. civilian population (16%). But the number of Hispanics enlisting in the active-duty force each year has risen significantly over the last decade. In 2003, Hispanic women and men made up 11.5% of the new enlistees to the military; just seven years later, in 2010, they made up 16.9% of non-prior service enlisted accessions. (From Women in the U.S. Military: Growing Share, Distinctive Profile).