Paycheck Protection Program
Another round of the Paycheck Protection Program (PPP) has been authorized, making $284 billion available for businesses to use toward job retention and certain other expenses including rent, payroll, mortgage, and utilities through March 31, 2021. The legislation also created a Second Draw PPP Loan for certain eligible borrowers that previously received a PPP loan to apply for a second loan with the same general loan terms as their First Draw PPP Loan.
The Small Business Administration (SBA) resumed accepting PPP applications on January 11, 2021. To promote access to capital for minority-, underserved-, veteran- and women-owned small business concerns, initially only community financial institutions will be able to make First Draw PPP Loans on Monday, January 11, 2021, and Second Draw PPP Loans on Wednesday, January 13, 2021. SBA will be reopening the PPP loan portal to PPP-eligible lenders with $1 billion or less in assets for First and Second Draw applications on Friday, January 15th, 2021 at 9am ET. The portal will fully open on Tuesday, January 19th, 2021 to all participating PPP lenders to submit First and Second Draw loan applications to SBA.Beginning in January, DCEO will host outreach and training virtual events to help connect more Illinois small businesses with resources needed to apply and qualify for the current round of PPP. Check DCEO’s page for updates.
For more information including eligibility an application procedures, please visit the SBA’s website: SBA Paycheck Protection Program
Economic Injury Disaster Loan Program
Eligible small businesses, private non-profits, and U.S. agricultural businesses can apply for Economic Injury Disaster Loan (EIDL) on a rolling basis. The EIDL program is designed to provide economic relief to businesses that are currently experiencing a temporary loss of revenue due to coronavirus (COVID-19).
The State of Illinois has received its statewide Economic Injury Declaration which means small businesses in all 102 Illinois counties may be eligible for low-interest, economic injury disaster loans (EIDL) of up to $2 million per business.
Additionally, the EIDL Advance was a grant program offered together with the economic injury loan program. All available funds for the EIDL Advance from the initial authorization have been allocated. The additional federal pandemic aid passed on December 27th, 2020, authorized $20 billion for new Targeted EIDL Advance grants to small businesses in low-income communities.
For more information on EIDL and future availability of Targeted EIDL Advances for small businesses, please visit the Small Business Administration’s (SBA) website: Economic Injury Disaster Loans
Shuttered Venue Operators
The Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (Economic Aid Act) passed on December 27, 2020 authorizes $15 billion for a new Shuttered Venue Operators (SVO) Grant for eligible theatrical producers, talent representatives, venue promoters, live venue operators, live performing arts organizations, movie houses, and cultural institutions that have been impacted by COVID-19. Eligible organizations with a reduction in revenue due to the COVID-19 pandemic will have the opportunity to receive up to a $10 million grant under the program.
For more information, please visit the Small Business Administration’s (SBA) website: Shuttered Venue Operator Grant (SVOG)