There are many funding options available to organizations and event organizers trying to navigate the current COVID-19 pandemic. Chief among them are:
- Paycheck Protection Program (“PPP”)
- Economic Injury Disaster Loans (“EIDL”)
Paycheck Protection Program
The Paycheck Protection Program (“PPP”) is designed to help small businesses, generally business with less than 500 employees, to continue to pay salaries and other fixed business expenses like mortgage, rent and utility payments. For profit and nonprofit organizations both qualify for the program and can receive loans up to 2.5 times their average W-2 employee payroll, up to $10 million.
PPP loans loans are eligible for 100% forgiveness effectively turning the loans into a grant. Businesses must spend at least 75% or more of loan proceeds on salaries and other payroll expenses in order to qualify for loan forgiveness. Check with your bank or lender to learn more about how to apply for this program.
Economic Injury Disaster Loans
The national disaster declaration for the United States of America set in motion the ability for businesses to apply for the Small Business Administration’s (“SBA’s) Economic Injury Disaster Relief Loan program. The EIDL is available throughout the United States for both for-profit and non-profit organizations. Your organization may be eligible to receive up to $2 million or more in economic assistance at preferential interest rates. Apply directly for the EIDL on the SBA website.
There are a large number of states offering grants to existing businesses to help them during the COVID-19 pandemic. Most grants require you to complete an application and some grants have made the process very simple, requiring only basic information (e.g. organization name, tax id, etc.) and documentation.