The Small Business Administration is offering a variety of support options for small farmers to help them weather the COVID-19 outbreak. Check them out and forward them to our college’s stakeholders! If you spot one that’s applicable, move fast, because funds are limited.
Farmers and ranchers, and small businesses in the hospitality and food industry, are eligible to sign up for the Paycheck Protection Program, which provides zero-fee loans of up to $10 million to cover payroll and other operating expenses. Up to 8 weeks of payroll, mortgage interest, rent, and utility costs can be forgiven.
For small businesses that already have an SBA loan (such as a 7(a), 504, or microloan) or that take one out within 6 months after the CARES Act is enacted, the SBA will pay all loan costs for borrowers, including principal, interest, and fees, for six-months. SBA borrowers may also seek an extension of the duration of their loan and delay certain reporting requirements. Click here for more debt relief information.
Economic Injury Disaster Loans and Loan Advance
Small business owners in all U.S. states, Washington D.C., and U.S. territories are eligible to apply for an Economic Injury Disaster Loan advance of up to $10,000. This advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application. This loan advance will not have to be repaid.
SBA Express Bridge Loans
If a small business has an urgent need for cash while waiting for decision and disbursement on Economic Injury Disaster Loan, they may qualify for the Express Bridge Loan Pilot Program. This loan allows small businesses that currently have a business relationship with an SBA Express Lender to access up to $25,000 with less paperwork. These loans can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
If you need help accessing or applying for any small business assistance, reach out to your local Small Business Development Center. Assistance is also available at the Women’s Business Center, SCORE Hawai‘i, or the Hawai‘i SBA District Office.
Click here for more SBA COVID-19 resources.