Insight

Resources for You, Your Family, and Your Business During Coronavirus

KCS Wealth (Byline: Katrina Soelter)

March 31, 2020

Updated as of 4/3/2020

We have put together list of resources for federal, state, and local options available for those impacted by Coronavirus, as we thought it would be helpful to have all of these options in one place. We will be sure to update as things change, since everything is moving so fast. If you think you are affected and need advice, we are here to help. Please feel free to reach out.

Here are some highlights:

To view the PDF version, click here:
Resources for Covid-19 PDF

Small Business:

We held a webinar on Small Business Resources During the Shutdown. Please visit our Events page to view the recording and see the slides.

Paycheck Protection Program:

This first section covers what we know about the Paycheck Protection Program as of 4/3/2020.

Find the application here and the borrower guide with Q&A here. Note that applications will be accepted by banks (“lenders”) who are qualified starting April 3 for small businesses and April 10 for self-employed and independent contractors. The US Treasury has a page dedicated to the PPP with their official guidance here.

As the paycheck protection program application must be submitted through approved lenders, we recommend reaching out to your established business banking relationship first (if you have one). Otherwise, the SBA has now updated their “find a lender” tool, which you can find here.

See list below in our “Federal” resources section for websites to specific bank’s pages. We are being notified that many banks are not yet accepting applications, and are not going to have the application up by April 3. Continue checking back on their sites if you are a client of one of these banks.

Based on the updated “Interim Guidance” released on 4/2/2020, here are some key points of the PPP:

  • Interest rate is now listed as 1% for the loan
  • 2 year term, 6 months of deferral of payments
  • Application form was updated to add additional categories at the top
  • Fact sheet is more specific about how the PPP interacts with sick pay, family leave policies, and other credits
  • Employers can ONLY use EITHER the PPP or the Employee Retention Credit. Thank you, Winningham Becker, for this update. See a summary of the credit here.
  • Independent contractors do not count as employees for purposes of the loan. They are able to apply for their own loan starting April 10.
  • Additional documentation will be needed along with the application form. Per the interim guidance:
    • SBA Form 2483
    • Payroll documentation
    • SBA Form 2484
    • Additional documents as requested by each bank
Additional Small Business Resources:

There are several additional available resources for small businesses during the Coronavirus outbreak. The federal government has also mandated new paid sick leave and family and medical leave extensions. There are tax credits to support those businesses that are required to offer these new benefits. Read more about them here. There are also Economic Injury Disaster Loans & Emergency Economic Injury Grants available (see above resource for FAQs). Use a Small Business Development Center or Women’s Business Center to help you file for all of the above.

If you are in the state of California and have had to reduce operations, but still want to keep your employees, look into the Work Sharing Program through the state of California here.

Locally, Los Angeles has a variety of resources available for you to access, including an emergency economic relief package that is offering microloans. For the loans from the SBA and the local emergency act, some have repayment caveats so that you do not have to repay the loan if it was used for payroll or certain operations. Los Angeles also put a moratorium on commercial evictions. Read about the moratorium here. Here is a great list of resources from the LA Economic Development Corporation and one from the Labor and Workforce Development Agency.

If you have any type of commercial insurance, look at your policy to see if you have business interruption coverage. Check your property policy, specifically, and reach out to your agent. Make sure to double check and read through the language in your policy. Here is a great overview of what might be available (thank you, Greenberg Glusker, for this update).

More and more private funds are being released as grants and loans. Please see the full list that we are aware of below in the resources section!

Resources:

Federal and General:

Paycheck Protection Program Resources:

Guide to the CARES Act from the US Chamber of Commerce and an FAQ through Congressmember Karen Bass

CARES Pages for different banks:

And, from the US Chamber of Commerce, here’s a guide to applying for the loans. They also have a website with a variety of resources here.

Alternate Federal Resources:

Small Business Administration

Tax credit info from Forbes about the Act through the Federal Government to provide paid sick leave and Family and Medical Leave extensions and a tax credit for self-employed individuals

Here is another great overview of the tax credit information from law firm Faegre Drinker

Business Interruption Insurance Coverage Overview from Greenberg Glusker

State of California:

California Employee Development Department to see resources for small business, and specifically, their Work Sharing Program to keep your employees on payroll while reducing hours so they are paid unemployment through the state.

iBank Website through CA has great information and a full resource list, and specifically their Small Business Owner’s Guide to the CARES Act is helpful.

CA State Treasurer Fiona Ma has a wonderful, comprehensive list of resources, including many private and nonprofit options.

Local:

Los Angeles Moratorium on Commercial Evictions

Los Angeles Economic Relief Package for Small Businesses and details on the loan program

Los Angeles County Economic Development Corp Full List of Resources

Labor and Workforce Development Agency Full List of Resources

There are Rapid Response teams if you are in danger of closing your business

Additional loan programs available through the CDC Small Business Finance options

LA County Help Center has a full list of information for business owners

SBA Map to find local business assistance

LA Small Business Development Center Resources and the WBC centers – can help with filing applications with SBA

Santa Monica Website, including a hotline number to call for additional help

Private Funds:

Local Initiatives Support Coalition has several grants (one through Verizon) as well as 0% interest loans available here

  • LISC LA has a specific page, including several webinars available here

One on One Advising through Bixel Exchange here

Facebook grants for small businesses

Jewish Free Loan Program

Banks offering programs, grants, and funding

Multiple nonprofits offering support: scroll to the bottom of Fiona Ma’s resource list

Small Business Relief Fund – funded by GoFundME, Yelp and Intuit Quickbooks, they have pledged to donate $1.5M and will provide $500 matching grants to qualifying businesses. Go here for more information.

Quickbooks Capital – offers loans between $5,000 – $100,000 with terms up to 12 months. Go here for more information

Amazon’s Neighborhood Small Business Relief Fund – cash grants to local small businesses (fewer than 50 employees or less than $7million in annual revenue) to businesses in Seattle area. Go here or here  for how to apply for a grant

Various industry specific organizations:

California Specific options:

New York Specific options:

Individuals:

It can be hard to focus on the financial aspect of your life given the potential health risks. However, handling the finances will take the stress off your shoulders so that you can focus entirely on staying safe, healthy, and productive during this unusual time.

Under the new CARES Act, self-employed, gig and freelance workers can file for forgivable loans through the Small Business Administration. See above under Small Business Resources for help on applying and guides. Individuals will also receive $1,200 as a one-time cash payment if they make $75,000 or under, and a family of 4 can expect $3,400 if they earn less than $150,000. Extra unemployment benefits are also available, adding up to $600 per week on top of the amount through the state unemployment fund. Individuals may withdraw up to $100,000 from their retirement accounts without penalty and have 3 years from the withdrawal date to repay that distribution without tax implications. A loan can also be withdrawn from a retirement plan of up to $100,000 (an increase from the original $50,000 limit). Required minimum distributions are waived for this tax year, so if you are over 70 ½ or 72, you do not need to take your required distribution. Here is a great FAQ from Congressmember Karen Bass.

The state of California has issued new disability and unemployment benefits for anyone impacted by the Coronavirus that works as an employee. Find all of the resources here. If you are self-employed or an independent contractor, benefits are available to you under the new CARES Act if you apply for unemployment through the state of CA. Here’s an FAQ from Congressmember Karen Bass that explains the expanded definitions for unemployment coverage. Also, here’s a list of funds available for creatives and freelancers.

If you are having trouble paying your mortgage or rent, there is a moratorium on evictions and foreclosures. Check out information from CNBC here, from Department of Housing here and another release from HUD here, and from the State of California here. Student loans are in forbearance through September 30 with 0 interest accruing (as long as they are federal loans). Learn more here from the Dept. of Ed and here from Congressmember Karen Bass.

Finally, there are tax deadline extensions from both the state of California and the IRS. IRA contribution deadline has now also been extended!

Resources:

Under the new CARES Act, self-employed, gig and freelance workers can file for forgivable loans through the Small Business Administration. Also, here are great FAQs for each category through Congressmember Karen Bass.

File for disability or unemployment through the state of California

Mortgage break info from CNBC

From HUD here and here

Student loan suspension here from the Dept. of Ed and here from Congressmember Karen Bass

Tax deadline extension from the State of CA

The IRS tax extension and here is the FAQ from the IRS for the tax extension. IRA contributions, too!

Santa Monica Website, including a hotline number to call for additional help

Statewide Covid-19 Website for California

Emergency Funds for Creatives and Freelancers

For resources for freelance artists, click here

For resources for bartenders, click here

For resources for musicians, click here

For resources for tipped workers/service workers, click here

Families in Need in LA:

If you are in LA and are struggling to access food, pay rent, or need help ensuring you have health insurance, here is a list of resources that may be useful to you.

Here is a Los Angeles Mass Resource List – some highlights:

  • Free food for children between 0 and 17 is widely available through LAUSD and all other school districts
  • WiFi and Broadband is free through Spectrum for 60 days for new K-12 households
  • LA Tenants Union is providing support with evictions
  • Food is widely available for those 65+ for free
  • There are three different resource guides for undocumented workers
  • There are multiple service areas and resources for homeless
  • There is a job portal for those who are looking for work
  • There are resources based on types of employment

Eviction Moratorium (Note: still required to pay back rent after the end of the emergency order)

and here from Curbed LA

Free meals for students in LAUSD

Safety nets in CA still prioritized

Healthcare in CA

Meals and nutrition for seniors in Los Angeles

Utility Bill Relief for LA County