Resources for Maine Businesses Impacted by COVID-19

Federal Resources for Small Businesses

Overview of the federal loan and grant programs for Small Businesses included in the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act.

 

Access Here

Chart comparing PPP vs SVO vs EIDL

Compare eligibility requirements and loan information for the different programs. Also available at the bottom of this page where it can be translated.

 

Access Here

 

Important Update: On February 22, 2021, the Biden Administration announced the following changes to the Paycheck Protection Program in order to promote more equitable access to relief funds:

  • In order to reach the smallest businesses, SBA will offer PPP loans only to businesses with fewer than 20 employees and sole proprietors from Wednesday, February 24 through Wednesday, March 10, 2021. 

  • In addition, SBA will:

    • Allow sole proprietors, independent contractors, and self-employed individuals to receive more financial support by revising the PPP’s funding formula for these categories of applicants;

    • Eliminate an exclusionary restriction on PPP access for small business owners with prior non-fraud felony convictions, consistent with a bipartisan congressional proposal; 

    • Eliminate PPP access restrictions on small business owners who have struggled to make student loan payments by eliminating student loan debt delinquency as a disqualifier to participating in the PPP; and

    • Ensure access for non-citizen small business owners who are lawful U.S. residents by clarifying that they may use Individual Taxpayer Identification Number (ITIN) to apply for the PPP.

Please note SBA is still working to implement these changes. Please refer to the SBA Website for more details. You can also find more information in the White House Press Release.

 

Supporting local partners and other resources

Maine SBA – Click the “Get Email Updates” button to receive the most up-to-date information about SBA’s small business resources. www.sba.gov/offices/district/me/augusta

Maine SBDC – Business advisors located throughout the state provide free, confidential advice. You can request advising on the website. www.mainesbdc.org

SCORE – A free, volunteer-led service, SCORE has both general business mentors and subject area experts at chapters around the state. www.scoremaine.org

CEI Maine – Request a business advisor through their website. www.ceimaine.org/advising

Women’s Business Center – Access events and programs specific to women business owners. www.ceimaine.org/advising/business-counseling-development/womens-business-center

U.S. SBA Contact Information:

Phone: 1-800-659-2955 (TTY: 1-800-877-8339)
Email: disastercustomerservice@sba.gov
Email: SVOGrant@sba.gov (for Shuttered Venue Operators Grant-specific questions)
Website: www.sba.gov/funding-programs/loans/coronavirus-relief-options

 

To access a full list of of COVID-19 resources for Maine businesses, including grants, loans, and other informational content visit the Maine Resource Compass Covid Page.

Maine Resource Compass

 

 

First Draw PPP Loan

Second Draw PPP Loan

Shuttered Venue Operators Grant

COVID-19 EIDL Loan

Are Applications Open?

Yes. Apply through a participating lender.

Yes. Apply through a participating lender.

No. SBA will give advanced notice of the date that applications will open.

Yes. Apply online here.

Application Deadline

March 31, 2021

March 31, 2021

Not yet announced

December 31, 2021

Are Funds Forgivable?

Maybe. Full loan amount may qualify for forgiveness if certain standards are met.

Maybe. Full loan amount may qualify for forgiveness if certain standards are met.

Yes. Grants are forgivable and do not need to be repaid.

No. Loans are not forgivable and must be repaid.

Loan/Grant Details

  •  Maximum loan: $10 million
  •  Interest rate of 1%
  •  5-year maturity
  •  No collateral required
  •  Maximum loan: $2 million
  •  Interest rate of 1%
  •  5-year maturity
  •  No collateral required
  •  Maximum grant: $10 million
  •  Maximum loan: $2 million or 6 months of working capital
  •  3.75% interest rate for small businesses
  •  2.75% interest rate for non-profits
  •  30-year maturity
  •  Collateral required on loans over $25,000

Loan/Grant Calculation

For most borrowers:

Maximum loan size of 2.5X average monthly 2019 or 2020 payroll costs (up to $10 million)

 

For small businesses in industry NAICS code 72:

Maximum loan size of 3.5X average monthly 2019 or 2020 payroll costs (up to $10 million)

For most borrowers:

Maximum loan size of 2.5X average monthly 2019 or 2020 payroll costs (up to $2 million)

 

For small businesses in industry NAICS code 72:

Maximum loan size of 3.5X average monthly 2019 or 2020 payroll costs (up to $2 million)

If you were in operation on January 1, 2019:

Maximum award will equal 45% of your 2019 gross earned revenue (up to $10 million)

 

If you began operation after January 1, 2019:

Maximum award will equal the average monthly gross revenue for each full month you were in operation during 2019 multiplied by 6 (up to $10 million)

Calculation method not published. SBA uses the information you provide in your application to determine the loan amount.

Eligibility Overview

Eligible organizations include:

 

  • A small business, as defined by the SBA, with 500 or fewer employees (or that meets a specified SBA industry size standard)
  • Sole proprietors, the self-employed, and independent contractors
  • Certain nonprofits, housing cooperatives, and news organizations also qualify

 

Must have been in operation as of February 15, 2020

 

Those who received a First Draw PPP loan, who have not permanently closed may be eligible if the organization has:

 

  • Used or will use the full amount of their original PPP Loan on or before the expected date of the second draw
  • Used or will use the full amount of original PPP Loan on eligible expenses
  • 300 or fewer employees
  • Experienced a 25% or greater revenue reduction, comparing quarterly gross receipts for one quarter in 2020 to the corresponding quarter of 2019.

Eligible entities include:

 

  • Live venue operators or promoters
  • Theatrical producers
  • Live performing arts organization operators
  • Relevant museum operators, zoos and aquariums who meet specific criteria
  • Motion picture theater operators
  • Talent representatives, and
  • Each business entity owned by an eligible entity that also meets the eligibility requirements

 

Must have been in operation as of February 29, 2020

 

Must not have received a PPP loan on or after December 27, 2020

Small businesses (in most industries, meaning 500 employees or less) impacted by COVID-19 may be eligible, including:

 

  • Maine small businesses directly affected by the disaster, such as retailers, restaurants, manufacturers, etc.
  • Private non-profits
  • Small agriculture cooperatives are eligible, but agricultural enterprises are not
  • Small aquaculture businesses

How Can Funds be Used?

At least 60% of funds must be used for payroll costs in order to qualify for forgiveness. The remaining 40% of funds can be spent on allowable expenses, such as rent, interest on a mortgage, utility payments, etc. (list is not exhaustive).

At least 60% of funds must be used for payroll costs in order to qualify for forgiveness. The remaining 40% of funds can be spent on allowable expenses, such as rent, interest on a mortgage, utility payments, etc. (list is not exhaustive).

Funds may be used for specific expenses, such as payroll costs, rent payments, utility payments, etc. (list is not exhaustive). Allows for a broader use of funds than PPP loans.

Funds are for working capital, which includes fixed debts, payroll, accounts payable, and other bills that can’t be paid due to the disaster’s impact. It does not cover lost sales.

Does Receipt of the Loan/Grant Impact Eligibility for Other Programs?

Yes. If you received or will receive a PPP loan on or after December 27, 2020, you will not be eligible for a Shuttered Venue Operations Grant.

Yes. If you received or will receive a PPP loan on or after December 27, 2020, you will not be eligible for a Shuttered Venue Operations Grant.

Yes. If you will receive a Shuttered Venue Operators Grant, you are noteligible to receive a PPP loan on or after December 27, 2020.

No. Receipt of a COVID-19 EIDL loan does not impact eligibility for a PPP loan or for a Shuttered Venue Operators Grant.

Where Can I Find Additional Information?

 

U.S. SBA:

First Draw PPP Loans

 

Maine SBDC:

Round 2 of the Paycheck Protection Program

 

SBA Email: disastercustomerservice@sba.gov

 

 

U.S. SBA:

Second Draw PPP Loans

 

Maine SBDC:

Round 2 of the Paycheck Protection Program

 

SBA Email: disastercustomerservice@sba.gov

 

 

U.S. SBA:

Shuttered Venue Operators Grant

 

SBA Email:

SVOGrant@sba.gov

 

U.S. SBA:

COVID-19 Economic Injury Disaster Loans

 

Maine SBDC:

What You Need to Know About SBA’s EIDL Loan

 

SBA Email: disastercustomerservice@sba.gov