COVID-19 Assistance Loans & Grant opportunities

This page serves as a resource on local, state and federal loan or grant programs the Grundy County Chamber and the Channahon Minooka Chamber are aware of. Programs to assist with the impact of COVID-19 are being introduced everyday so please continue to check this page. We also encourage you to talk to your local bank or financial institution about options they have to work with you on during this difficult time.

Table of Contents
    Add a header to begin generating the table of contents

    Grundy COVID-19 Relief Fund Grant

    Illinois Business Interruption Grant Information and Application

    City of Morris business grants

    City of Morris announces Commercial Lease Payment Grants for Morris (TIF Dist. 1) Businesses

    Morris businesses impacted by COVID-19 can apply for up to $1,500 toward lease reimbursements

    The City of Morris is able to utilize Tax Increment Finance (TIF) District 1 dollars to assist Morris businesses with lease payment reimbursements up to $1,500. There are requirements including, but not limited to being in TIF 1 (map available online), having a Morris business license, and proof of lease payment, among other information. Applications are reviewed by the City on a first come first serve basis and approved based on availability of funds. Visit the city’s website (link available below) for more info and for an application. Applications should be emailed to [email protected]. For more information call 815-942-4026.

    City of Morris website

    State of Illinois loans and grants

    Emergency Small Business Grants and Loans Assistance

    Under the leadership of Gov. JB Pritzker, the Department of Commerce & Economic Opportunity is working with partners to launch emergency assistance programs for Illinois small businesses.  These initiatives include:

    Illinois Small Business Emergency Loan Fund

    Downstate Small Business Stabilization Programs

    Each grant and loan has its own requirements and application process. Please click the above links for the details and to apply. The Chamber is available to answer questions, but is not in charge of applications.

     

    Federal loan opportunities

    PPP Loan changes:

    The Paycheck Protection Program use requirements for loan forgiveness have been changed. Some of the requirements have been broadened answering the concerns of small business owners. For instance, you now have 24 weeks to spend your funds instead of 8 weeks.

    A Forbes article was published recently breaking down some of the changes. You can read it here.

    As the SBA and US Chamber release details on these changes the Chamber will disperse the information. Make sure you contact the bank you received the PPP funds through for further information.

    Click here for the U.S. Chamber's Emergency Loans Small Business Guide & Checklist.

    SBA loans now available to Illinois businesses

    Released from the SBA March 19,2020:

    The U.S. Small Business Administration is offering low-interest federal disaster loans for working capital to Illinois small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19), SBA Administrator Jovita Carranza announced today. SBA acted under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, to declare a disaster following a request received from Gov. JB Pritzker on March 17, 2020.

    The disaster declaration makes SBA assistance available in the entire state of Illinois; and the contiguous counties of Clinton, Des Moines, Dubuque, Jackson, Lee, Louisa, Muscatine and Scott in Iowa; Benton, Gibson, Knox, Lake, Newton, Posey, Sullivan, Vermillion, Vigo and Warren in Indiana; Ballard, Crittenden, Livingston, McCracken and Union in Kentucky; Cape Girardeau, Clark, Jefferson, Lewis, Lincoln, Marion, Mississippi, Perry, Pike, Ralls, Saint Charles, Saint Louis, Saint Louis City, Sainte Genevieve and Scott in Missouri; and Grant, Green, Kenosha, Lafayette, Rock and Walworth in Wisconsin.

    “SBA is strongly committed to providing the most effective and customer-focused response possible to assist Illinois small businesses with federal disaster loans. We will be swift in our efforts to help these small businesses recover from the financial impacts of the Coronavirus (COVID-19),” said Administrator Carranza.

    SBA Customer Service Representatives will be available to answer questions about SBA’s Economic Injury Disaster Loan program and explain the application process.

    “Small businesses, private non-profit organizations of any size, small agricultural cooperatives and small aquaculture enterprises that have been financially impacted as a direct result of the Coronavirus (COVID-19) since Jan. 31, 2020, may qualify for Economic Injury Disaster Loans of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred,” said Carranza.

    “These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. Disaster loans can provide vital economic assistance to small businesses to help overcome the temporary loss of revenue they are experiencing,” Carranza added.

    Eligibility for Economic Injury Disaster Loans is based on the financial impact of the Coronavirus (COVID-19). The interest rate is 3.75 percent for small businesses. The interest rate for private non-profit organizations is 2.75 percent. SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years and are available to entities without the financial ability to offset the adverse impact without hardship.

    Applicants may apply online, receive additional disaster assistance information and download applications at https://disasterloan.sba.gov/ela. Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email [email protected] for more information on SBA disaster assistance. Individuals who are deaf or hard‑of‑hearing may call (800) 877-8339. Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX  76155.

    The deadline to apply for an Economic Injury Disaster Loan is Dec. 21, 2020.

    Fact sheet info:

    Disaster Loan Assistance Available:
    Economic Injury Disaster Loans (EIDLs) – Working capital loans to help small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period.

    Credit Requirements:

    • Credit History – Applicants must have a credit history acceptable to SBA.
    • Repayment – Applicants must show the ability to repay the loan.
    • Collateral – Collateral is required for all EIDL loans over $25,000. SBA takes real estate as collateral when it is available. SBA will not decline a loan for lack of collateral, but SBA will require the borrower to pledge collateral that is available.

    Interest Rates:

    The interest rate is determined by formulas set by law and is fixed for the life of the loan. The maximum interest rate for this program is 3.750 percent.

    Loan Terms:

    The law authorizes loan terms up to a maximum of 30 years. SBA will determine an appropriate installment payment based on the financial condition of each borrower, which in turn will determine the loan term.

    Loan Amount Limit:

    The law limits EIDLs to $2,000,000 for alleviating economic injury caused by the disaster. The actual amount of each loan is limited to the economic injury determined by SBA, less business interruption insurance and other recoveries up to the administrative lending limit. SBA also considers potential contributions that are available from the business and/or its owner(s) or affiliates. If a business is a major source of employment, SBA has the authority to waive the $2,000,000 statutory limit.

    Loan Eligibility Restrictions:

    Noncompliance – Applicants who have not complied with the terms of previous SBA loans may not be eligible. This includes borrowers who did not maintain required flood insurance and/or hazard insurance on previous SBA loans.

    Note: Loan applicants should check with agencies / organizations administering any grant or other assistance program under this declaration to determine how an approval of SBA disaster loan might affect their eligibility.

    Refinancing:

    Economic injury disaster loans cannot be used to refinance long term debts.

    Insurance Requirements:

    To protect each borrower and the Agency, SBA may require you to obtain and maintain appropriate insurance. By law, borrowers whose damaged or collateral property is located in a special flood hazard area must purchase and maintain flood insurance. SBA requires that flood insurance coverage be the lesser of

    1. the total of the disaster loan,
    2. the insurable value of the property, or
    3. the maximum insurance available.

    Applicants may apply online, receive additional disaster assistance information and download applications at https://disasterloan.sba.gov/ela.

    Which Loan Should I Use?

    The state and federal governments are offering numerous program and loans to help local businesses impacted by COVID-19. Below is a breakdown of the differences between two of those offerings: the Economic Injury Disaster Loans and the Paycheck Protection Program.

    For specific details and to apply visit:

    EIDL: https://www.sba.gov/page/coronavirus-covid-19-small-business-guidance-loan-resources

    PPP: https://home.treasury.gov/cares

    PPP FAQ: Download information guide here

    Facebook Small Business Grants Program

    Facebook is offering a grant program for small businesses up to $4,000 ($2,500 in cash and $1,500 in optional ad credits). Applications are due May 8. Criteria required to apply includes:

    • Be a for-profit company

    • Have between 2 and 50 employees

    • Have been in business for over a year

    • Have experienced challenges from COVID-19

    • Be in or near a location where Facebook operates

    For more details and to apply visit: https://apply.facebook.ureeka.biz/prog/facebook_smb_4/