COVID-19 Business Updates

COVID-19 Small Business Financial Resources Update as of 3.20.20

The resources listed here are either available now or are expected to become available shortly. This is not an exhaustive list, but rather a spotlight on the primary financial programs developed to date:

QuickFacts (more details below)

Federal Small Business Administration Loans Now Live in Michigan!
Our Advice: Apply online if you are interested, even if you aren’t sure you are eligible. Even a denial could open up opportunities for other funding later.

State Loans and Grants Available on or Around April 1
Our Advice: Stay tuned to the website above and submit your contact info to MEDC to let them know you want updates about this program!

Small Business Administration – Economic Injury Disaster Loans
Applications Now Live for Michigan!
What: Up to $2M per business in low-interest loans is being made available to businesses impacted by COVID-19. The funds can be used for fixed debts, payroll, accounts payable, and other bills (utilities, rent, taxes, etc.) that you cannot pay due to loss of revenue. A dedicated loan officer works with you to get a decision within 3 weeks and loans less than $25K do not require collateral and can be distributed within 5 days. Historically, these loans have been distributed following a disaster as a reimbursement for losses to businesses that have no other access to credit. It has been communicated to us that modifications to this program are under consideration, and we will provide updated information as it becomes available. In the meantime, we encourage ALL businesses interested in this program to apply.

Who Can Apply: Small businesses or private, non-profit organizations that suffer substantial economic injury as a direct result of the declared disaster. This includes:

  • Businesses directly affected by the disaster
  • Businesses that offer services directly related to the businesses in Executive Order 2020-9
  • Other businesses indirectly related to the industry that are likely to be harmed by losses in their community (Example: Manufacturer of widgets may be eligible as well as the wholesaler and retailer of the product)

*If you are unsure about your eligibility but are interested in this program we encourage you to:
(1)    Apply now. It is a simple application, and even if you are denied it could pave the way to other funding.
(2)    Contact the Michigan Small Business Development Center for support.

Apply: Go to https://disasterloan.sba.gov/ela. The application process is 3 steps; it is free and easy to apply. The website is experiencing high traffic and may be slow. If possible, you may want to visit during non-peak hours (7pm-7am EST).

Help: The Michigan Small Business Development Center has the best information about this program for Michigan businesses, and they have staff available to answer questions and assist with applications.

Phone: (313) 672-1101
Email: [email protected]
 

Michigan Economic Development Corporation (MEDC) – Grants & Loans
What: $10m in grants and $10m in loans is being made available on or around April 1. The funds can be used for certain business expenses and payroll.

Process: The state just approved this money on March 19. Details on how to apply will be released asap.

Apply: Applications will be available on or around April 1. Call the MEDC at 888-552-0103 or visit their website to stay updated. www.michiganbusiness.org/covid19/