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COVID-19 assistance

Dear Clients,

These have been difficult times and we are committed to guiding our clients and providing up to date information concerning the Covid-19 (Coronavirus.) There are loans and financial assistance available from the Federal and Maryland to support businesses affected by COVID-19. We are equipped with assisting in completing the applications for the available funding.

SBA Economic Injury Disaster Loan Program

The Small Business Administration is offering a low-interest federal disaster loan, if you qualify and are in a federally declared disaster area, up to $2,000,000 per business.  Maryland is a declared disaster area. The loan is permitted to be used on paying fixed debts, payroll, accounts payable, and other expenses that can’t be paid because of the disaster impact. Interest rate will be 3.75% for small businesses and 2.75% for non-profits. The term of the loan would be up to 30 years. 

You can apply for assistance at: https://www.sba.gov/funding-programs/disaster-assistance

State of Maryland – Maryland Department of Commerce

The Maryland Department of Commerce is offering the following assistance to businesses:

  1. Maryland Small Business COVID-19 Emergency Relief Fund - Ability to borrow up to $50,000, deferrals of any payments for the first twelve (12) months, and payments of principal and interest from thirteen (13) to thirty-six (36) months.

    https://commerce.maryland.gov/fund/maryland-small-business-covid-19-emergency-relief-loan-fund

  2. Maryland Small Business COVID-19 Emergency Relief Grant Fund – Grants up to $10,000 not to exceed 3 months of cash flow operating expenses for Maryland businesses and nonprofits impacted by the COVID-19 with 50 or fewer employees.

    https://commerce.maryland.gov/fund/maryland-small-business-covid-19-emergency-relief-grant-fund

  3. Maryland COVID-19 Emergency Relief Manufacturing Fund – A $5,000,000 incentive to help Marylander manufacturing companies to produce personal protective equipment (PPE) that is urgently needed by hospitals and health-care workers across the country.  More information will be available on March 27, 2020.

    https://govstatus.egov.com/md-coronavirus-business


State of Maryland – Department of Labor – Layoff Aversion Fund

http://www.labor.maryland.gov/employment/covidlafund.shtml

The Layoff Aversion Fund is designed to “support businesses undergoing economic stresses due to the pandemic by preventing or minimizing the duration of unemployment resulting from layoffs. The award (up to $50,000 per applicant), will be a quick deployable benefit and customizable to the specific needs of your business to minimize the need for layoffs.”  The Department of Labor will award grants from now through 30 days after the State of Emergency.

This fund is designed to help businesses for the following:

  1. Providing funds to cover the cost of purchasing remote access equipment to allow employees to work remotely from home versus being laid off.

  2. Providing funds to cover the cost of purchasing software or programs that an employee would need to use from home.

  3. Supporting businesses that take advantage of the Work Share Unemployment Insurance Program.

  4. Providing funds to cover the costs of cleaning/sanitization services so that the employees are able to work at the work site.

  5. Paying for liability insurance for restaurants that convert to delivery while under emergency circumstances.

  6. Providing funds for training or professional development opportunities to avoid layoffs.

  7. Adopting other creative approaches and strategies to reduce or eliminate the need for layoffs.

The application for the grant can be found: http://www.labor.maryland.gov/employment/covidlafund.shtml

If you have further questions or would like assistance, please feel free to contact a member of our team at 410.692.5283

Thanks,

Your Barwick CPA Team

Download our SBA Disaster Loan Process presentation