Business Resources During Coronavirus Outbreak

Business News We Are Following 

The House-passed Emergency Coronavirus Bill will provide significant relief to small businesses that cannot afford the employee costs associated with COVID-19. The bill provides the following (among more):

  • $367 billion in loans for small businesses
  • Expanded unemployment benefits that boost the maximum benefit by $600 per week and provide laid-off workers their full pay for four months. Eligibility is extended to independent contractors and the self-employed.
  • Direct payments of $1,200 to most individuals making up to $75,000, or $2,400 for couples making up to $150,000. Each dependent child increases the amount by an additional $500. The amount decreases for individuals with incomes above $75,000, and payments cut off for those above $99,000.

Once more direct information comes into us about that, we will post it here.

Small Business Resources

Business Counseling: Free business counseling available through a network of 70 small business assistance centers located throughout the state. At these centers, business owners can learn about different disaster response programs and receive help in accessing these resources. A directory to identify which centers serve your district is available at: http://static.business.ca.gov/wp-content/uploads/2019/12/2019-TA-Providers-Guide.pdf 

Federal Tax Credit to Cover the Cost of Paid Sick Leave: Two new refundable federal payroll tax credits to help small and medium-size businesses cover the cost of providing coronavirus-related leave for employees. These federal credits are designed to immediately and fully reimburse small and medium-size businesses for the cost of paid leave. The JEDE Committee, in collaboration with the Assembly Committee on Revenue and Tax, has requested the Governor’s Office of Emergency Services to provide guidance on how this tax credit applies to California businesses, which may have already laid workers off. More information about these new tax credits are available under “New Releases” on the IRS’ COVID-19 webpage: https://www.irs.gov/coronavirus 

New Capital: Recognizing that businesses will need capital to make it through this emergency and get back on their feet, state and federal agencies are leveraging current programs and activating disaster loan programs. There are both state and federal direct loans, as well as state loan guarantees and other credit enhancements. The JEDE Committee is reviewing the programs to determine capacity and programmatic limitations to meeting the needs of small businesses in the COVID-19 emergency. Currently available programs include: 

Existing Loans: State and federal regulators of financial institutions have issued a special directive to lenders to work constructively with businesses in modifying existing loans. This directive, issued on March 20, 2020, can be accessed at: https://www.federalreserve.gov/newsevents/pressreleases/bcreg20200322a.htm 

More Small Business Resources:

Other Business Resources