NEPA offers small business financing assistance
The Northeast Pennsylvania Alliance is exploring options for small businesses in the region. This includes assistance programs from the federal, state and local levels. The latest updates on available options are noted:
Federal programs
• Economic Injury Disaster Loans: These low-interest loans (capped at 3.75%) are for working capital to small businesses suffering substantial economic injury due to COVID-19. Borrowers can request $10,000 payable three days after application. Applications can be completed at: https://covid19relief.sba.gov/#/
• Paycheck Protection Program: This program is expected to open for application on April 3. Applicants apply through any existing SBA 7(a) lender. Consult with a local lender as to whether it is participating in the program. The Paycheck Protection Program is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. SBA will forgive loans if all employees are kept on the payroll for eight weeks, and the money is used for payroll, rent, mortgage interest or utilities. ?More information can be found at: https://www.sba.gov/funding-programs/loans/paycheck-protection-program-ppp
• SBA Debt Refinance Programs (SBA 504 and SBA 7(a)): SBA Debt Refinance programs can be used to refinance existing conventional loans. SBA 504 loans funded below 3% for March 2020 with a fixed interest rate for 25 years. ?Contact NEPA Alliance for more information on the program and available cash out options for borrowers.
State programs
• The COVID-19 Working Capital Access Program: It has been closed to new applications. NEPA Alliance will continue to monitor and update on any new programs being offered at the state level. For more information and direct updates, go to: https://dced.pa.gov/programs/covid-19-working-capital-access-program-cwca/
Local
• NEPA Alliance has 11 small business loan programs that are available to assist small businesses during this time. Contact them for more information at Stephen Ursich, 570-891-4649, sursich@nepa-alliance.org.