To all of our customers across California,
We’ve compiled some resources that may be of assistance to many clinic owners as you search for income relief in light of the impact COVID-19 is having on your business.
This post covers:
- Federal Loans, Resources, & Guidance
- California Small Business Loans for COVID-19
- California Tax Relief & Taxpayer Assistance Center
- Governor Order to Protect Renters and Homeowners
- California Network of Small Business Support Centers
- Resources for California Small Business Slow Downs & Closures due to COVID-19
Federal Resources and Guidance
1. United States Small Business Response Plan
Check out our United States Small Business Response Plan for a list of Federal resources and relief options.
This post includes information on: New Federal Disaster Loans for Small Businesses Affected by COVID-19, New Options for Unemployment Insurance Benefits Related to COVID-19, Benefits Accessible Across Federal Government Agencies in Response to COVID-19, Business Resources on How to Plan and Prepare for COVID-19, Small Business Grants from Facebook and Additional common questions we’re getting about income relief due to COVID-19.
Read the United States Small Business Response Plan here.
State & Regional Relief Resources
1. California Small Business Loans
California’s Small Business Finance Center has a range of financial resources available to small businesses needing assistance due to COVID-19, including a loan guarantee program and direct loans.
From the Small Business Finance Center (SBFC)
One of the IBank Small Business Finance Center’s loan guarantee programs is designed for Disaster Relief specifically and is currently available to small businesses needing assistance to overcome economic injury caused by COVID-19.
DISASTER RELIEF LOAN GUARANTEE PROGRAM (DRLGP)
IBank will issue loan guarantees up to 95 percent of the loan through its partner Financial Development Corporations to help small business borrowers who were impacted by disasters or public safety power shutoffs and who need term loans or lines of credit for working capital.
This disaster program will help lenders and small businesses by providing loan guarantees of up to $1 million for small business borrowers in declared disaster areas.
JUMP START LOAN PROGRAM
IBank is offering loans from $500 to $10,000 to low-wealth entrepreneurs in the declared disaster and emergency areas through its Jump Start Loan Program.
IBank Website for more information: IBank Small Business Finance Center
2. California Capital Access Program (CalCAP)
California Treasurer’s Office has a small business loan program with special disaster assistance that is used extensively by the CDFI community.
Learn more about the Capital Access Program Here: Capital Access Program
3. California Coronavirus Special Tax Relief
Due to COVID-19, the Franchise Tax Board announced a special tax relief for all California tax payers. The tax file and pay deadline has been extended to July 15, 2020.
Taxpayers do not need to claim any special treatment or call FTB to qualify for this relief. If possible, the FTB recommends to file tax returns on time to get a timely refund.
More information is available here: California Tax Relief
4. EDD Taxpayer Assistance Center - Payroll Reports
If you are unable to file or pay your payroll taxes on time due to hardship as a result of COVID-19, you can request up to a 60-day extension of time from the EDD to file the state payroll reports and/or deposit state payroll taxes without penalty or interest.
You must submit a written request for extension noting the impact of COVID-19, and it must be received within 60 days from the original delinquent date of the payment or return.
Here’s the contact information that employers may call with questions:
EDD Taxpayer Assistance Center
- Toll-free from the U.S. or Canada: 1-888-745-3886
- Hearing impaired (TTY): 1-800-547-9565
- Outside the U.S. or Canada: 1-916-464-3502
EDD Taxpayer Assistance Center Information Sheet
5. Order to Protect Renters and Homeowners
Governor Gavin Newsom issued an executive order that authorizes local governments to halt evictions for renters and homeowners, slows foreclosures, and protects against utility shutoffs for Californians affected by COVID-19.
As of March 25, Newsom also committed the following:
Californians economically impacted by COVID-19 may receive 90-day grace periods to make mortgage payments.
Financial institutions agree not to negatively impact credit reports as a result of accepting payment relief.
News release here: March 25 Newsom News Release
6. Los Angeles City Small Business Emergency Microloan Program
Mayor Eric Garcetti announced an $11 million economic relief package for small businesses impacted by COVID-19.
From Mayor Eric Garcetti:
“As part of the program, which was approved by the Los Angeles City Council, the Economic and Workforce Development Department will provide $11 million in no-fee microloans of $5,000 to $20,000 — which may be used to cover working capital.”
Learn more about the Microloan Program here:
Los Angeles City Small Business Emergency Microloan Program
7. San Francisco COVID-19 Small Business Resiliency Fund
The COVID-19 Small Business Resiliency Fund allows impacted small business owners to access up to $10,000 for employee salaries and rent.
You can learn more about the eligibility requirements for the Small Business Resiliency Fund here:
Small Business Resiliency Fund
8. Sacramento - Relief Fund for Small Business
The City of Sacramento has established a $1 million economic relief fund for businesses affected by COVID-19. The fund will provide zero-percent interest loans of up to $25,000 per business.
Note: The applications for this loan closed on March 20th due to high volume, however, should additional funding become available, they will reopen the portal to applications.
Stay tuned for updates.
Information available here: Relief Fund for Small Business
9. San Diego Small Business Relief Fund
The City of San Diego has annouced an economic relief package, including a Small Business Relief Fund that will help make $2 million in micro loans available to small businesses impacted by COVID-19.
Applications for the fund are coming soon.
More information is available here: San Diego Small Business Relief Fund
10. California’s Network of Small Business Support Centers
If you are looking for information and assistance, California’s network of small business support centers help businesses figure out which loans are best for them, develop resiliency strategies, and find other resources.
Find a Small Business Support Center here:
California’s Network of Small Business Support Centers
Resources for California Small Business Slow Downs & Closures due to COVID-19
1. Apply for a Work-Sharing Program
Employers that are experiencing a slowdown in business or services due to COVID-19 may apply to the UI Work-Sharing Program to avoid potential lay offs.
From the EDD:
“This program allows employers to seek an alternative to layoffs — retaining their trained employees by reducing their hours and wages that can be partially offset with UI benefits. Workers of employers who are approved to participate in the Work Sharing Program receive the percentage of their weekly UI benefit amount based on the percentage of hours and wages reduced, not to exceed 60 percent.”
The Work Sharing Program helps employees whose hours and wages have been reduced:
- Receive UI benefits.
- Keep their current job.
- Avoid financial hardships.
The Work Sharing Program helps employers:
- Minimize or eliminate the need for layoffs.
- Keep trained employees and quickly prepare when business conditions improve.
- Avoid the cost of recruiting, hiring, and training new employees.
To learn more about the Work Sharing Program and it’s benefits visit: Work Sharing Program
2. Unemployment Insurance for Your Workers Reduced Hours
If you need to reduce hours or shut down due to COVID-19, your workers can file an Unemployment insurance claim. The one-week waiting period has been removed, so workers can collect UI benefits the first week they are out of work. Any employees expecting to return back to work with you within the next few weeks, are not required to actively seek work each week, as long as they are able and available to return to work and meet all other eligibility criteria. **Eligible individuals can receive benefits that range from $40-$450 per week.
Here’s more on filling a UI Claim from the EDD:
The Governor’s Executive Order waives the one-week unpaid waiting period, so you can collect UI benefits for the first week you are out of work. If you are eligible, the EDD processes and issues payments within a few weeks of receiving a claim.
Requirements to File a Claim
When filing for UI benefits, you must have earned enough wages during the base period to establish a claim, and be:
- Totally or partially unemployed.
- Unemployed through no fault of your own.
- Physically able to work.
- Available for work.
- Ready and willing to accept work immediately.
- Actively looking for work.
To file an Unemployment Insurance Claim: File an Unemployment Claim
3. Contact the Rapid Response Program
The Rapid Response Program will provide help for employers planning a closure or major layoffs as a result of COVD-19.
“Rapid Response teams will meet with you to discuss your needs, help avert potential layoffs, and provide immediate on-site services to assist workers facing job losses”
Additional information is available on the Rapid Response Services for Businesses Fact Sheet:
Rapid Response Services for Businesses: Fact Sheet
4. Disability Insurance for Sick or Quarantined Workers
If you have an employee that is unable to work due to having COVID-19 or due to being exposed to COVID-19 (certified by a medical professional) they can file a Disability Insurance claim. The one-week waiting period has been waived, so eligible workers can collect Disability Insurance payments for the first week they are out of work.
More on filing a DI Claim from the EDD:
“DI provides short-term benefit payments to eligible workers who have a full or partial loss of wages due to a non-work-related illness, injury, or pregnancy. Benefit amounts are approximately 60-70 percent of wages (depending on income) and range from $50-$1,300 a week.”
How to File a Disability Insurance Claim in SDI Online: File a DI Claim
5. Paid Family Leave
If you have an employee that is unable to work because they are caring for a sick or quarantined family member with COVID-19, they can file a Paid Family Leave claim. A Paid Family Leave claim will provide up to six weeks of benefit payments to eligible workers, with benefits amounts that are approximately 60-70 percent of wages (depending on income) and range from $50-$1,300 a week.
For those eligible, the EDD processes and issues payments within a few weeks of receiving a claim.
How to File a Paid Family Leave Claim in SDI Online: File a PFL Claim
We hope this compilation of information helps you understand the options open to you!