Business information
Your federal and state ID number(s) & your North American Industry Classification System (NAICS) code https://www.naics.com/search/
Various programs are available for businesses affected by COVID-19
Your federal and state ID number(s) & your North American Industry Classification System (NAICS) code https://www.naics.com/search/
2019 and 2020 gross sales, payroll, and employee count
Review the program's requirements and eligibility guidelines below with access to the correpsonding application
| PROGRAM | STATE | STARTS | ENDS | TYPE | MAX PER BUSINESS |
|---|---|---|---|---|---|
| Economic Injury Disaster Loan Program (EIDL) | US | 2020-04-03 | 2020-12-31 | LOAN | $2,000,000 |
| Paycheck Protection Program (PPP) - ENDED | US | 2020-04-03 | 2020-06-30 | LOAN | $10,000,000 |
| Emergency Assistance Grant (NJEDA) - ENDED | NJ | 2020-04-03 | 2020-04-10 | GRANT | $5,000 |
| Employee Retention Tax Credit | NJ | 2020-04-03 | 2020-04-10 | TAX CREDIT | $5,000 per employee |
An expansion of the Small Business Administration's current program.
Starts:
4-3-2020 at 9am
Expires: 12-31-2020
Who is Eligible:
Generally all entities that have suffered substantial economic injury by a disaster (in existence prior to January 31, 2020)
1) Business with less than 500 employees
2) Cooperatives, ESOPs, and tribal small businesses with less than 500 employees
3) Sole proprietors
4) Independent contractors
5) Most private non-profits
Details:
1) Maximum loan is for $2,000,000 in working capital
2) 3.75% interest rate (businesses) and 2.75% interest rate (non-profits)
3) Deferred payments for one (1) year
4) $200,000 available without personal guarantee
5) Approval basis can be on credit score with no first-year tax return required
6) No requirement to prove credit was unavailable elsewhere
7) Loans up to $25,000 - no collateral
8) Loans over $25,000 - general security interest in business assets
9) SBA must be able to review tax records
Bonus:
An emergency $10,000 grant (free) is available.
1) Available within three days of application (through 12/31/2020)
2) No obligation to repay the grant
3) If a loan is issued, $10,000 will be subtracted from the forgiveness amount
Prohibited:
Paycheck Protection Program prohibits borrowers from taking out two loans for the same purpose. See http://www.uschamber.com/sbloans.
How to apply?
http://www.sba.gov/disaster
Part of the Federal relief package, the Coronavirus Aid, Relief, and Economic Security (CARES) Act signed into law by President Trump.
Starts: 4-3-2020 at 9am
Expires: 6-30-2020
Who is Eligible:
Generally all entities (in existence prior to January 31, 2020)
1) Business with less than 500 employees (certain industries over 500 employees)
2) Cooperatives, ESOPs, and tribal small businesses
3) Sole proprietors
4) Self employed individuals
5) Independent contractors
6) Most private non-profits
Details:
1) Maximum payroll of $100,000 per employee annualized
2) Loan totally forgiven if proceeds used only for payroll and mortgage interest, rent, and utility costs (non-payroll) over the eight (8) week period after the loan is made and employee count and compensation levels are maintained
3) Deferred payments for six (6) months
Prohibited:
Paycheck Protection Program prohibits borrowers from taking out two loans for the same purpose. See http://www.uschamber.com/sbloans.
How to apply?
Must be applied for with an approved lender: SBA lender search
For NJ small businesses, provided by the NJ Economic Development Authority.
Starts:
4-3-2020 at 9am
Expires: 6-30-2020
Who is Eligible:
Industries as determined by their NAICS code in:
1) Retail
2) Accomodation & Food Service
3) Arts, Entertainment & Recreation, Repair & Maintenance, Personal & Laundry Services
4) NAICS code begins with 44, 45, 71, 72, 811, or 812
Non-profits are eligible if they have the following designation:
1) 501(c)(3)
2) 501(c)(4)
3) 501(c)(7)
Requirements:
1) Must certify to negative impact of emergency
2) Must have a physical commercial location in NJ
3) Must be registered to do business in NJ
4) Must be in good standing with the Department of Labor (DOL)
5) 1-10 full time employees on 2019 4th quarter NJ-WR30 filing
6) Completion and certifcation of simplified debarment legal questionnaire
Details:
1) Operating expense grant of up to $5,000
How to apply?
https://cv.business.nj.gov
Part of the Federal relief package, the Coronavirus Aid, Relief, and Economic Security (CARES) Act signed into law by President Trump.
Starts: 4-3-2020 at 9am
Expires: 4-10-2020
Who is Eligible:
Private employers, including non-profits, performing a trade or business in 2020 that:
1) Have operations partially or fully suspended resulting from governmental authority orders due to COVID-19, or,
2) More than a 50% decline in gross sales over same 2019 quarter (once sales meet 80% of same 2019 quarter - eligibility ends)
3) Over 100 employees - full time employees being paid but not providing a service due to full or partial shutdown or reduction in gross sales
4) Under 100 employees - all employees
Details:
1) 50% tax credit for the first $10,000 in compensation, including employer portion of benefits
2) Available for each eligibile employee
3) Does not include paid sick or family leave (reimbursed under Families First Coronavirus Response Act)
4) Only for wages paid after 3/12/20 and before 1/1/21 (subject to continued eligibility)
5) Will be a refundable tax credit applied against the employees portion of payroll taxes
Prohibited:
1) Employers who receive a Paycheck Protection Program (PPP) loan are not eligible for a tax credit
2) Employers may not claim the same employee for this credit and the Work Opportunity Tax Credit for the same period
3) Employers may not claim the same wages for an employee under this credit and also under the employer credit in section 45S of the Family Medical Leave Act (FMLA)
How to apply?
Further guidance is forthcoming from the IRS