The Paycheck Protection Program has been incredibly successful at supporting small businesses through the pandemic, but we can’t rely on it forever. As PPP applications and funding come to an end, it’s time to look at other ways to fund your business through COVID recovery. We’ve gathered together some of your best options for continued financing, loans, and tax credits to keep your business running smoothly. 

Economic Injury Disaster Loan for COVID

• Provided by: Small Business Administration.
• Eligibility requirements: Small business in the US.
• Loan amounts: Up to $500,000.
• Loan terms: 3.75 percent interest, repayable over a 30-year term.
• Application deadline: 31 December, 2021.

The Economic Injury Disaster Loan (EIDL) program from the US Small Business Administration (SBA) is a loan that provides economic relief to businesses across the US. The loan is quick and easy to apply for, and has a low interest rate, and can be repaid over 30 years. Businesses that have already applied for and received an EIDL loan can apply again to receive more funds.  

How to Apply for an Economic Injury Disaster Loan for COVID

You can find all the details you need and apply on the SBA website.

Shuttered Venue Operator Grant

• Provided by: Small Business Administration.
• Types of businesses eligible: Live venue operators or promoters, Theatrical producers, Live performing arts organization operators, Museum operators, Motion picture theater operators (including owners), Talent representatives.
• Eligibility requirements: Depending on rounds of funding, as defined here.
• Grant amounts: Up to 45 percent of their 2019 gross earned revenue.

The Shuttered Venue Operator Grant (SVOG) is a grant awarded by the SBA to businesses that run entertainment venues and similar. The eligibility criteria and amount awarded do vary, and you can find details on the SVOG program page.

How to apply for the Shuttered Venue Operator Grant

You can find all the details you need and apply on the SBA website.

Employer Tax Credit: Paid Leave Credit for COVID Sickness and Vaccines

• Provided by: Internal Revenue Service / Treasury Dept.
• Eligibility requirements: Provided paid sick and family leave to their employees due to COVID-19, including time off to get a vaccine and vaccine recovery.
• Credit amounts: Employee’s regular salary up to $511 per day and $5,110 overall.
• Credit benefits: Refundable tax credits that reimburse them for the cost of providing paid sick and family leave.
• Application deadline: Applies between April 1, 2021 and September 30, 2021.

The IRS is providing a refundable tax credit to employers who have provided sick pay or family leave to employees. This tax credit also applies to paid time off for employees to get and recover from the vaccine. The tax credits are available on the employee’s normal pay, top a maximum of $510 a day and $5,110 in total.

How to Apply for an Employer Tax Credit

According to the IRS, “Eligible employers can keep the federal employment taxes that they otherwise would have deposited, including federal income tax withheld from employees, the employees’ share of social security and Medicare taxes and the eligible employer’s share of social security and Medicare taxes with respect to all employees up to the amount of credit for which they are eligible.”  Your accountant can advise you on how to claim the credit. 

Employee Retention Credit

• Provided by: Internal Revenue Service / Treasury Dept.
• Eligibility requirements: Have 500 or fewer employees that you kept on payroll, were at least partly closed due to a government order, or the business’s revenue declined by 20 percent or more for any quarter this year. 
• Credit amounts: For eligible businesses, the ERC is worth up to $7,000 per quarter and up to $28,000 per year, for each employee. 
• Credit benefits:  Employers can claim a refundable tax credit against the employer share of Social Security tax equal to 70 percent of the qualified wages they pay to employees.
• Application deadline: Applies for all four quarters of 2021.

The IRS is providing a refundable tax credit to employers who retained employees on their payroll. 

How to Apply for the Employee Retention Credit

You can learn more about the credit and how to apply on the IRS FAQ page.

Bank Loan Deferment on Existing Business Loans

• Provided by: Various banks
• Eligibility requirements: Have an existing loan with a bank
• Loan amounts: Depends on your existing agreement
• Loan terms: Depends on your existing agreement
• Application deadline: Depends on your existing agreement

Many banks are offering deferred payments and reduced fees for small business loans both during the pandemic and as businesses recover. The type and availability of these deferments do vary significantly from bank to bank. The American Bankers Association has a very helpful guide to how individual banks are reacting to the pandemic and the impact on individuals and businesses. You should contact your local bank to see the options that are available to you.

How to Apply for Bank Loan Deferment

Review the website of your bank to see what their deferment terms are. Contact your bank to check the deferments that can be provided to your existing loan, and what the terms and conditions are.

State and Local Coronavirus Small Business Assistance

Many states and local governments are offering COVID assistance to local businesses. Check with your state’s Department of Commerce or Department of Revenue to understand the assistance programs you can apply to. Helpful resources include:

• State Initiatives For Small Business Recovery During The COVID-19 Pandemic Economic Crisis
• The Big List of COVID-19 Financial Assistance Programs for Small Businesses By State (last updated in 2020)

We hope you’ll find some useful programs, grants, loans, and tax credits on this list so you can rebuild beyond COVID. Remember, too, that we offer a loan matching service that can connect you with funds for the next stages in your business growth.