Boynton Beach Insider

A QUICK GUIDE TO COVID-19 RELIEF FOR SMALL BUSINESSES

In response to the urgent need for assistance to alleviate some of the financial impacts of the COVID-19 pandemic, there have been a number of relief programs announced by federal and state agencies, as well as private organizations. This overview is intended to assist local business owners navigate the various relief options that are currently available for companies that are enduring economic strain due to the crisis.

BOYNTON BEACH PROGRAMS

City of Boynton Beach CDBG Small Business Grant Program

The City’s Economic Development & Strategy Department has created the CBDG Cares Act Small Business Grant Program to assist Boynton Beach businesses who have experienced revenue loss due to the COVID-19 pandemic.

• • Must be located within the City of Boynton Beach (excluding those located within the BBCRA area)
  • Must have 25 or fewer employees.
  • Have experienced a loss of revenue due to COVID-19
  • Have not received ANY funding from the CARES Act or any program funded by the CARES Act.
  • Applications will be processed on a first-qualified, first-served basis.
  • The application window opens on Friday, June 26, 2020.
  • Visit the City of Boynton Beach website for additional information.

PALM BEACH COUNTY PROGRAMS

PBC Cares For Business – Restart Business Grant 

Palm Beach County has implemented the Palm Beach County CARES Small Business Grant Program to help vulnerable small businesses negatively impacted by the coronavirus pandemic. Assistance Offered: $25,000 maximum award (Grants & Forgivable Loans received by businesses related to COVID-19 will be reduced from eligible maximum award). The application will launch on Friday, May 22, 2020, at 8:00 a.m. Learn more here on the Palm Beach County website. 
*An additional $23 Million was added to this program on Sept. 25, 2020. For more information click here.

• Eligibility
  • Business has 25 employees or fewer; Business has been operating since October 1, 2019 and was still operating on February 29, 2020
  • Business is located in Palm Beach County
  • Business is not a publicly traded company
  • Business is not a non-profit organization
  • Business does not exceed $3 million in total gross receipts or sales
  • Businesses with 25 or less employees and total gross receipts or sales of $3-5M will be funded from the $10M allocation
• Eligible Uses
  • Salaries/Payroll
  • Inventories
  • Commercial Lease, Mortgage, or Rent Payments
  • Utilities
  • Other Expenses – due to new safety provisions
• Required Documents
  • Fully executed application, including certifications, affirmations, and acknowledgements
  • Financial information such as tax returns and payroll report
  • Active Palm Beach County Business Tax Receipt
  • Active copy of your Registered Business as shown on SunBiz.Org

FEDERAL PROGRAMS

Paycheck Protection Program

The U.S. Small Business Administration, in consultation with the Department of the Treasury, published a revised, borrower-friendly Paycheck Protection Program loan forgiveness application implementing the PPP Flexibility Act. Attend the “Next Steps” webinar being presented by the South Florida District Office to learn more about the process. 

Register to attend an upcoming session for free via EventBrite.

The Paycheck Protection Program (PPP), which was included in the Coronavirus Aid, Relief and Economic Security (CARES) Act provides $349 billion in forgivable loans to help small businesses endure the economic challenges that have resulted from the COVID-19 crisis. Please read about the PPP Flexibility Act for currents updates to the program: https://www.sba.gov/

• • Provides small businesses with funds to pay up to eight weeks of payroll costs including benefits.
  • Funds can also be utilized to pay interest on mortgages, rent, and utilities.
  • The U.S. Small Business Administration (SBA) will guarantee loans up to $10 million to eligible businesses.
  • The loan can be forgiven if businesses maintain payroll for eight weeks at employees’ normal salary levels and use funds to pay for qualifying expenses.
  • Small businesses and nonprofits with 500 or fewer employees can apply for loans through the Paycheck Protection Program—that includes sole proprietors and independent contractors. One loan will be granted per business, and a taxpayer identification number (TIN) is required to apply.
  • Loans will be provided directly by banks and credit unions.

Economic Injury Disaster Loan Advance

The Economic Injury Disaster Loan Advance (EIDL) will provide up to $10,000 of economic relief to businesses that are undergoing temporary challenges. Funding for this loan has currently been depleted. However, additionally funding will likely be approved by Congress. If you have not yet applied it is recommended that you still prepare your documents for when additional funding becomes available.

• • Funds can be used to provide employee sick leave, maintain payroll or meet other needs like paying rent and utilities.
  • The SBA is providing working capital loans of up to $2 million to small businesses and nonprofits affected by the coronavirus.
  • These loans carry an interest rate of 3.75% for small businesses and 75% for nonprofits.
  • Loan repayment terms vary by applicant, up to a maximum of 30 years.
  • The stimulus updated the program so that sole proprietors, independent contractors, self-employed individuals, and businesses with fewer than 500 employees qualify.
  • Applicants don’t need to provide a personal guarantee on loans under $200,000.
  • Payments can also be deferred for up to four years.
  • The application is available on the SBA website.

SBA Express Bridge Loans

The Express Bridge Loan is designed for businesses who already have an existing business relationship with an SBA Express Lender to access up $25,000.

• • This loan option is intended to quickly provide funds to businesses who are urgently in need.
  • Provides fast turnaround of funding.
  • To view additional relief options being provided by the SBA, visit their website here.

Families First Coronavirus Response Act 

The Families First Coronavirus Response Act (FFCRA or Act) requires certain employers to provide employees with paid sick leave or expanded family and medical leave for illnesses related to COVID-19.

• • If a business has fewer than 500 employees then employees are eligible under this act; small businesses with fewer than 5 employees may be exempt from the requirement if it could jeopardize the business.
  • Employees can get two weeks, up to 80 hours, of paid sick leave at their regular pay if an employee can’t work because they are quarantined or have COVID-19 symptoms and are trying to get diagnosed.
  • If an employee has been employed for at least 30 days, the employer must provide up to an additional 10 weeks of paid expanded family and medical leave if the employee cannot work due to having to provide care for a child whose school or child care provider is closed because of COVID-19.
  • Employers may recover the costs of providing these benefits by claiming new refundable payroll tax credits for qualified sick leave wages and qualified family leave wages.
  • The Department of Labor will administer and enforce the new paid leave requirements through December 31, 2020.
  • For more information about the FFCRA visit the Department of Labor website.

Tax Return Extension

The IRS has also extended the deadline for both individuals and businesses to July 15, 2020. Visit the IRS website for additional information.

STATE PROGRAMS

Florida Small Business Emergency Bridge Loan Program

The Florida Small Business Emergency Bridge Loan Program provides loans of up to $50,000 – $100,000 in certain special cases – to coronavirus-affected small businesses.

• • The loans are meant to serve as short-term funding that can be repaid once businesses can access alternative funding.
  • Loans are interest-free for one year; after that, the interest rate rises to 12%.
  • For-profit small businesses with two to 50 employees are eligible to apply.
  • Applications must be submitted by May 8, 2020 to the Florida Department of Economic Opportunity.

Black Business Loan Program

The Black Business Loan Program (BBLP), existing program that is not specifically related to COVID-19 relief, offers alternative lending solutions to Florida based black-owned small businesses.

• • Provides short-term loans and technical assistance that is not necessarily related to COVID-19.
  • Applications can be submitted to FAMU or Miami Bayside Foundation.

Reemployment Assistance

The Florida Department of Economic Opportunity has announced that individuals who have had their employment negatively impacted because of mitigation efforts to stop the spread of COVID-19, may be eligible to receive Reemployment Assistance.

• • Workers will be eligible for a $600 weekly boost on top of regular state unemployment benefits.
  • Gig works, freelancers, and self-employed individuals are eligible.
  • Furloughed workers are eligible for assistance.

BANK ASSISTANCE

• • Bank of America – Small business customers can request refunds of overdraft, insufficient funds, and monthly maintenance. Clients can request to defer payments and refunds of late fees on small business loans.
  • Capital One – All customers including small businesses are eligible for assistance including minimum payment assistance, deferred loan assistance, and fee suppression.
  • JP Morgan Chase – The bank pledged $50 million to help struggling customers, and $8 million in aid to small businesses. Additionally, personal and business accounts can delay credit card payments for up to three payments.
  • Citibank – Small business customers can take advantage of assistance waivers on monthly service fees, waived penalties for early CD withdrawal, and fee waivers on remote deposit capture.
  • Wells Fargo – Small business clients can take advantage of fee waivers, payment deferrals, and assistance with credit card lending.
  • S. Bank – Small business owner customers can apply for a credit card with 0% APR on both purchases and balance transfers for 20 billing cycles, and reduced pricing on certain loans and lines of credit.

ADDITIONAL FUNDING, GRANTS, AND RESOURCES

• • Bacardi Limited activated its #RaiseYourSpirits campaign pledging $3 million in relief to bars and restaurants affected by the COVID-19 shutdowns.
  • Facebook announced a $100 million grant for small business impacted by COVID-19 and launched the Business Resource Hub, which various recommendations on how small businesses can stay connected to customers.
  • Faire, an online marketplace startup, launched a financial calculator tool that helps small businesses understand how the COVID-19 crisis has impacted their finances.
  • Go Fund Me has partnered with Yelp to allow independent businesses to start fundraisers and accept donations through their page. Both companies have also pledged to donate up to $1 million to a Small Business Relief Fund.
  • Google has pledged to donate $800 million for COVID-19 relief to help small and medium-sized businesses gain access to capital. In an effort to keep businesses connected with customers, Google is also offering ad credits to active advertisers.
  • James Beard Foundation started a Food and Beverage Industry Relief Fund to provide microgrants to independent food and beverage small businesses in need. They are currently creating the application, but you can join their interested parties list by clicking here.
  • Kabbage launched an online hub to help boost sales for small businesses impacted by the pandemic. There is a designated system that businesses can sell gift cards to consumers for use at a later date.
  • Kangaroo, a NYC based tech startup, is supporting small business owners by offering free security camera and monitoring kits for three months.
  • Kiva is offering small businesses the opportunity to apply for 0% interest loans for up to $15,000.
  • Loom is offering business owners access to their C19 Cash Runaway scenario planning tool to help them gauge the impact COVID-19 may have on their business.
  • Seated is offering restaurant owners the opportunity to get complimentary advice from finance and law professionals specializing in the hospitality industry.
  • Shea Moisture has enacted varies initiatives to support minority-owned businesses impacted by COVID-19.
  • Side Project offers a “Legal Hotline” for nonprofit or small business that have legal and operational questions, including questions about the PPP loan, eligibility requirements,  the application process, and questions about loan forgiveness. Free phone consultations can be scheduled on their website.
  • Spanx by Sara Blakely Foundation and GlobalGiving have aligned to create The Red Backpack Fund, which will provide 1,000 grants of $5,000 to female entrepreneurs.
  • S. Chamber of Commerce Foundation has initiated the Save Small Business Fund, which will offer short-term relief for small businesses with $5,000 grants. The application window opens on April 20, 2020.
  • Yelp has pledged to provide $25 million in coronavirus relief for restaurant and nightlife businesses. Eligible businesses can take advantage of free advertising, products, and services.

Please note we intend to update this information as more relief options become available. Last update: September 14, 2020.