El Paso and Las Cruces-area nonprofit organizations and small businesses reeling from the coronavirus pandemic may be able to get some relief from the recent economic stimulus bill.
Applications start Friday, April 3 for low-interest loans available through the Coronavirus Aid, Relief and Economic Security Act. Loans will be available to help with payroll, rent, benefits, debt and other needs.
About 4 million organizations and businesses in the United States are eligible. Funds will be awarded on a first-come, first-served basis and are expected to go fast.
Organizations should do their research and gather needed documentation in advance of the April 3 application start.
• The SBA Paycheck Protection Program will provide loans at 0.5% interest for job retention and other expenses. Loans worth up to 2.5 times the average monthly payroll of small businesses and nonprofits that employ 500 people or less will be available. Loans will be capped at $10 million. They may be used to cover payroll, benefits, paid sick leave, mortgage payments, rent payments and debt servicing expenses incurred from February 15, 2020 to June 30, 2020.
If an organization maintains staffing for eight weeks, the loan will be forgiven.
Loan applications will require supporting documentation.
• The SBA Economic Injury Disaster Loan program provides low-interest working capital loans of up to $2 million to small businesses and nonprofits that need help covering accounts payable, debt and payroll. The interest is 2.75% for nonprofits, 3.75% for small businesses.
Click here for more information.
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