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Small Business Resources
Jump to topics:
—CITY OF MADISON EQUITY AND RECOVERY GRANTS
—KIVA GREATER MADISON
—PAYCHECK PROTECTION PROGRAM
—SBA REGIONAL RESOURCES
—SBA ECONOMIC INJURY DISASTER LOANS
—SBA HELP FROM WISCONSIN PARTNERS
—SMALL BUSINESS PANDEMIC SUPPORT GRANT PROGRAM
—WWBIC FAST TRACK LOANS
—WWBIC VIRTUAL CLASSES
SBA ECONOMIC INJURY DISASTER LOANS
The U.S. Small Business Administration (SBA) made available a new, streamlined application for Wisconsin businesses affected by the COVID-19 outbreak to receive Economic Injury Disaster Loans (EIDLs). These loans became available March 20, 2020, following a request from Gov. Tony Evers.
The new application can be found here.
These loans offer up to $2 million in assistance and can provide vital economic support to small businesses to pay fixed debts, payroll, accounts payable and other bills. These loans are not intended to make up for lost profits or to be used for expansion.
The CARES Act affords the opportunity to get up to a $10,000 advance on an EIDL. This advance may be available even if your application was declined or is still pending, and it will be forgiven.
YOU MUST SUBMIT THE NEW APPLICATION TO QUALIFY FOR AN ADVANCE, even if you previously submitted an EIDL application.
General SBA guidance for small businesses impacted by COVID-19 is available here.
For eligibility guidelines, application guidance, options for application assistance and answers to frequently asked questions, see this document from Wisconsin’s SBA Office.
The SBA recommends prospective applicants assemble their documents required for the loan application to get a head start on “step two” in the loan review process. Below is the list of nine documents applicants should assemble and scan to prepare for uploading them into the EIDL website, in addition to fillable PDF forms required by SBA.
- Corporate governance documents; e.g., Articles of Incorporation, Articles of Organization (for LLC), or Registration of Sole Proprietorship
- Written statement justifying the nature and scope of economic injury and how/why nature of business was adversely impacted by the Coronavirus (one page/no more than two), such as loss of revenues, cancelled contracts, interrupted supply chain, etc., that resulted in economic injury
- Current Accounts Payable and Accounts Receivable Aging as of date of filing for the loan
- Three (3) years’ 1040 Federal Income Tax Returns for the business & owners
- Three (3) years’ company FYE Income Statement and Balance Sheet and latest YTD Financial Statements (Company prepared is acceptable)
- Company and Owners’ Debt Schedule Tables [e.g., Lender, original loan amt., date, current balance, interest rate, collateral, purpose of loan, guarantors, status (e.g., current or past due with explanation) per row in table]
- Monthly two (2) years’ cash flow projections
- Three (3) years’ Monthly Sales History up to date of filing for loan
- Current copies of owners’ credit reports from the three (3) credit bureaus with explanations for any negative reports
Required SBA Forms:
- IRS Form 4506-T
- Personal Financial Statement (SBA Form 413)
- Schedule of Liabilities & Fixed Assets (SBA Form 2202)
- Monthly Sales (SBA Form 1368)
- Home Loan (SBA Form 5c), if applicable
For additional assistance, contact the SBA’s helpline at 800-659-2955 from 6 a.m. to 8 p.m. CT seven days a week or by email at firstname.lastname@example.org. You can also visit their website at sba.gov/disaster.
PAYCHECK PROTECTION PROGRAM
The U.S. Small Business Administration (SBA) has released a streamlined forgiveness application for Paycheck Protection Program (PPP) loans totaling $50,000 or less. According to the Wisconsin Bankers Association, this measure would apply to roughly two-thirds of all PPP loans.
The application, Form 3508S, requires fewer calculations and less documentation for eligible borrowers. Borrowers that use SBA Form 3508S are exempt from reductions in loan forgiveness amounts based on reductions in full-time equivalent (FTE) employees or in salaries or wages. Form 3508S also does not require borrowers to show the calculations used to determine their loan forgiveness amount. However, SBA may request information and documents to review those calculations as part of its loan review process.
The form, which must be submitted to your lender, can be found here, with form instructions available here. The interim final rule outlining the changes can be found here.
For frequently asked questions about PPP loan forgiveness, click here.
- Small Business Development Centers and the Institute for Business and Entrepreneurship have created a COVID-19 resource page to connect you with local assistance and other resources. They are committed to helping small businesses with their disaster loan applications. You can also reach their Answerline at 800-940-7232.
- The Wisconsin Women’s Business Initiative Corporation has seven locations statewide. Email email@example.com for assistance. Their many small business classes have moved online; check their website.
- Western Wisconsin Women’s Business Center is working remotely; email firstname.lastname@example.org.
- SCORE mentors in Wisconsin: Visit https://www.score.org/coronavirus-sba-loans to find an advisor.
For Spanish language assistance, contact Lily Alvarado, WWBIC, at email@example.com.
To find additional assistance near you, click here.
SBA REGIONAL RESOURCES
If you are looking to connect with someone from the SBA’s regional office, you can send them an email at firstname.lastname@example.org. Their general mailbox is being monitored regularly to field questions.
You can sign up for their newsletter at www.sba.gov/updates; make sure to include your zip code to receive Wisconsin-related updates. The SBA will issue updates as new programs become available and new webinars are scheduled.
SMALL BUSINESS PANDEMIC SUPPORT GRANT PROGRAM
On Jan. 5, Dane County Executive Joe Parisi announced an additional $4 million in funding for the county’s Small Business Pandemic Support Grant Program, bringing total funding since the program began to $14.8 million.
Through the program administered by Dane Buy Local, new funds will be targeted to Dane County small businesses hit especially hard during the pandemic, including restaurants, retail stores, independent contractors, the service industry, gyms, fitness facilities and dance studios. Since the program was announced last April, 2,700 local businesses have received an average grant of $4,000.
Business owners can get information and apply for a grant here.
CITY OF MADISON EQUITY AND RECOVERY GRANTS
The City of Madison has made funds available through its Small Business Equity & Recovery Grant (SBER) program, which is aimed at supporting small businesses owned by individuals who identify as “Historically Underrepresented” and can provide vital assistance to those businesses struggling during the pandemic.
Independently owned businesses are eligible for funding, with priority given to businesses owned by people of color. For the purposes of the program, “Historically Underrepresented” can also refer to small businesses owned by applicants who are low-income, immigrants, women, veterans or members of the LGBTQ+ community.
These grants are available on an ongoing basis, with the deadline coming on the 10th of each month. A program summary can be found here, and the application can be accessed here.
KIVA GREATER MADISON
Kiva Greater Madison provides zero percent interest capital to local small businesses with no fee. For businesses that need $15,000 or less immediately, Kiva is a no-cost option with an easy, low-barrier-to-entry application process. Learn more at kivaushub.org/madison.
WWBIC FAST TRACK LOANS
The Wisconsin Women’s Business Initiative Corporation (WWBIC) has created a new Fast Track loan program focused on existing businesses looking for financing during the COVID-19 outbreak. Business owners can choose either a line of credit or a term loan, depending on their needs.
The line of credit would be for between $5,000 and $10,000 for a 12-month term, with a 9.25 percent interest rate. The term loan would be for between $5,000 and $15,000 for a 60-month term, with an interest rate of 4.5 or 5 percent. There is no collateral needed to qualify for either option.
You can find additional details and the application here.
WWBIC VIRTUAL CLASSES
The Wisconsin Women’s Business Initiative Corporation (WWBIC) has transitioned to all-virtual classes. WWBIC offers classes in Greater Madison and statewide for new entrepreneurs, seasoned business owners and anyone looking to improve their financial health.
For a full list of WWBIC classes in Greater Madison, click here. For more information regarding cancellations and date changes, contact their Madison office at 608-257-5450.
U.S. Small Business Administration (SBA)
Disaster Assistance in Response to COVID-19
U.S. Sen. Tammy Baldwin
U.S. Rep. Mark Pocan
Coronavirus Resources & Support
Wisconsin Economic Development Corporation (WEDC)
Navigating Through COVID-19 in Wisconsin