Financial Resources for Downtown Syracuse During COVID-19

Downtown Syracuse Business Owners,

You're receiving this email because you're part of the downtown Syracuse business community. Whether you own a retail store, restaurant, a professional or service-based business, or a downtown property, you're an essential part of our district.

Hot off the Press: Three new aid programs from the CARES Act

Last Friday, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was signed into law. This law has three new programs from the Small Business Administration (SBA) that may benefit you.

Small Business Debt Relief Program - If you already have an SBA 7(a) loan, or plan to apply for one before 9/27/20, the Small Business Debt Relief Program will pay your monthly payments (principal and interest) for six months, relieving some of your financial pressures at this time.

Paycheck Protection Program (PPP) - Receive up to $10 million to keep paying your workers through a new program. SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities. No collateral or personal guarantee required. The PPP is retroactive to Feb. 15, 2020, so businesses can rehire recently laid-off employees through June 30, 2020. Small businesses, sole proprietorships, independent contractors and self-employed persons can apply. (The U.S. Chamber of Commerce has prepared a helpful overview of the Paycheck Protection Program, available here.) Starting April 3, 2020, businesses can apply to SBA 7(a) participating lenders (click here for a lender list).

Economic Injury Disaster Loan Advance (Grant) - Small businesses applying for the SBA's Economic Injury Disaster Loan (EIDL) (see below) will also be eligible for up to a $10,000 advance.

Our friends at CenterState CEO are offering a free webinar to the public to review these new programs on Friday, April 3 at 11:00 am. You must register in advance to participate. To register, please click here.

What can I apply for right now?

While we wait for the PPP to "go live" on Friday, you can get started now applying for other sources to cover operating expenses (payroll, rent, and other fixed obligations). You have several options:

1) Bank Line of Credit: Contact your regular business lender to request additional credit.

2) Loan Programs: If you can't get more credit from your bank, apply for one of these two loans:

Syracuse Economic Development Corporation (SEDCO) Emergency Relief Program for Small Businesses (Apply now - limited funds remaining!) - Up to $25,000 (average loan size will be $10,000), zero-percent interest, 180-day emergency loans to small businesses located within the City of Syracuse. The City intends to issue loan decisions within 7 days of an application.

Small Business Administration (SBA) Economic Injury Disaster Loan (EIDL) (Apply now!) - Up to $2 million available per business, sub-4% annual interest rate, repayment term will not exceed 30 years. As of March 31, the application process has been streamlined - click here to apply.

Because EIDL loan approval may take several weeks, SBA EIDL applicants should also apply for these programs at the same time:

SBA Economic Injury Disaster Loan Advance ( Apply now!) - Up to a $10,000 advance for businesses awaiting EIDL loan approval. Funds available within three days of a successful application, and this money does NOT need to be repaid (functions as a grant); AND

Either:
SBA Express Bridge Loan (EBL) Pilot Program (Apply now!) - If you already have a lending relationship with an SBA Express Lender as of March 13, 2020, apply for an expedited bridge loan of up to $25,000 through this program.

Or:
Onondaga County Office of Economic Development COVID-19 Bridge Loan (Apply now!) - If you do NOT already have a lending relationship with an SBA Express Lender, apply for an Onondaga County Bridge Loan of up to $25,000 while you await your SBA EIDL loan approval. Second round of applications begins today, April 1.

3) Other Financial Resources: Many industries (e.g., non-profit, restaurant, hospitality, retail) have rallied around their members to provide alternative grants and crowd-funding resources at this difficult time.

For a comprehensive list (updated daily) of additional financial tools, please visit https://downtownsyracuse.com/covid-19-resources. Scroll down to Business Resources and click on Financial Resources & Opportunities for a drop-down listing of other financial programs and industry resources.

To reach our Economic Development department directly and discuss available options, please contact Heather Schroeder, Director of Economic Development, at [email protected] or 315-412-7878.

We look forward to hearing from you.