25-YR FIXED RATE
20-YR FIXED RATE
10-YR FIXED RATE
COVID-19 Small Business Assistance
HELP IS AVAILABLE
federal disaster assistance options
- Shuttered Venue Operators Grant
- Restaurant Relief
- SBA Payment Relief
- Paycheck Protection
- Express Bridge Loans
The U.S. Small Business Administration will officially open the Shuttered Venue Operators Grant (SVOG) application portal on April 8, 2021 at 12 p.m. EDT for operators of live venues, live performing arts organizations, museums and movie theatres, as well as live venue promoters, theatrical producers and talent representatives to apply for critical economic relief, as those eligible entities are some of the first that had to shutter their doors a year ago in response to the COVID-19 pandemic.
Concerts, plays, dance performances, movie premieres, museum exhibits – these are the lifeblood of culture and community, and often the anchor for travel, tourism and neighborhood food and retail stores. We know that for the stage and venue operators across the nation that help make this culture happen, the pandemic has been devastating. Too many have been forced to lower the final curtain on their businesses. Today, with more than $16.2 billion available through the Shuttered Venue Operators Grants, help is here,” said SBA Administrator Isabella Casillas Guzman. “The SBA is committed to moving as quickly as possible to deliver this vital funding effectively and equitably – ensuring relief goes to those venue operators whose revenues have been most impacted by the pandemic.”
The SVOG program was appropriated more than $16.2 billion for grants via the Economic Aid to Hard-Hit Small Businesses, Nonprofits and Venues Act and the American Rescue Plan Act. Of these funds, at least than $2 billion is reserved for eligible SVOG applications with up to 50 full-time employees. Eligible applicants may qualify for grants equal to 45% of their gross earned revenue up to a maximum amount of $10 million for a single grant.
The SBA is accepting SVOG applications on a first-in, first-out basis and allocating applicants to respective priority periods as it receives applications. The first 14 days of SVOG awards, which are expected to begin in late April, will be dedicated to entities that suffered a 90% or greater revenue loss between April and December 2020 due to the COVID-19 pandemic. The second 14 days (days 15-28) will include entities that suffered a 70% or greater revenue loss between April and December 2020. Following those periods, SVOG awards will include entities that suffered a 25% or greater revenue loss between one quarter of 2019 and the corresponding quarter of 2020.
Prior to the opening of SVOG applications, the SBA hosted a national informational webinar (archived recording) to highlight the application process for potential eligible entities. The agency also provided recurrent program updates and information via frequently asked questions, additional video tutorials, an application checklist and eligibility requirements through SBA’s dedicated SVOG website – www.sba.gov/svogrant – and targeted outreach to potential applicants.
While the Small Business Administration (SBA) prepares to administer the Restaurant Revitalization Fund, businesses should take steps to organize the materials necessary to submit an application once it is available. Below are resources to learn more about the program and what businesses can do to prepare for the application.
Please note that Restaurant Revitalization Fund applicants no longer need to sign up for a SAM.gov account or have a DUNS number. Stay tuned for more updates.
So far, SBA does not have information on how to apply for the Restaurant Relief Fund. However, in the meantime, the Independent Restaurant Coalition has information on their website:
- Frequently asked questions: FAQ about the Restaurant Revitalization Fund [UPDATED 3/30]
- Resources package: Share this document with your suppliers, partners, and colleagues to help spread the word. It contains all of our current resources in one [UPDATED 3/30]
- Video webinar: On March 23rd, the Independent Restaurant Coalition hosted a round table discussion with leading advisory, tax and assurance firm Baker Tilly about the restaurant relief grant program in the American Rescue Plan, including eligibility and steps restaurants can take to be prepared for applications. View it linked here and below
- Press Release: https://www.saverestaurants.com/news-item/senate-28b/
- Sign up for Email Updates: https://www.saverestaurants.com/join/
On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (the CARES Act) was enacted to provide emergency and immediate national economic relief and assistance across the American economy, including to small businesses. Section 1112 of the CARES Act authorized SBA to pay, for a six month period, the principal, interest and associated fees that borrowers owe on covered 504 loans, 7(a) loans and Microloans. The initial availability of this debt relief expired on September 27, 2020 (hereafter “First Round Section 1112 Payments”).
With the enactment of the Economic Aid Act on December 27, 2020, Congress amended section 1112 to authorize a second round of Section 1112 payments, which will cover the principal, interest, and associated fees that borrowers owe on covered loans, subject to availability (hereafter “Second Round Section 1112 Payments”). The terms and eligibility are case-specific, so please refer to SBA Procedural Notice 5000-20095 for more details, or contact any member of our team.
- The debt relief payments are not a loan or a deferment. The payments will be forgiven.
- You do not have to apply for this…it is automatic.
- For 504 Loans, the debt relief only applies to the 504 portion of the financing. The first mortgage loan is through a bank, so borrowers should contact their lender if they need assistance with the first mortgage.
- Any past or future payment subsidies made on behalf of borrowers will not be treated as taxable income for federal tax purposes. However, borrowers are advised to check with their tax advisors, particularly regarding any possible state tax implications.
Additional eligibility information can be found on our SBA Payment Relief page.
- First Draw PPP Loans for first time program participants
- Second Draw PPP Loans beginning January 13, 2021 for certain businesses who have previously received a PPP loan
SBA is currently accepting Paycheck Protection Program PPP loan applications from participating community financial institutions (CFIs) and lenders with under $1 billion in assets, which includes approximately 5,000 institutions, including community banks, credit unions, and farm credit institutions. Lender Match can help you find a participating lender. The program will open to all lenders on January 19, 2021. Please refer to SBA’s website for additional details.
- This loan comes directly from the U.S. Treasury. Applicants do not go through a bank or DCD to apply, but instead apply directly to SBA. https://covid19relief.sba.gov/#/
- Funds can be used for fixed debts, payroll, accounts payable and other bills that could have been paid had the disaster not occured.
- Interest rates for this disaster are 3.75% for small businesses and 2.75% for nonprofits with terms up to 30 years.
- There is no obligation to take the loan if offered and no cost to apply
- Apply through an existing SBA Express Lender
- For more information, go to SBA’s website
Illinois Disaster Assistance options
- Due to the high volume of applications received, the agency is unable to provide updates on review time of individual applications. If you have a specific question about information submitted within your application (e.g. something submitted incorrectly), please use the question form.
Small Business Resources
- To find a local resource partner, click here.
- Counseling is free and training is low-cost. Mentorship through SBDC’s and SCORE is always free.
- In addition, the Minority Business Development Agency’s Business Centers (MBDCs), which serve minority business enterprises of all sizes, will also receive funding to hire staff and provide programming to help their clients respond to COVID-19. Not every state has a MBDC. To find out if there is one that services your area, visit this site.
RESPONSE TO CORONAVIRUS
MAKING THE BEST OF DIFFICULT TIMES
Koval Distillery refocused their production away from whiskey to making hand sanitizer for the medical community, retirement homes and those on the front lines. They’ve already provided over 2,000 gallons.
Kemco is helping to transport COVID-19 supplies. The company even transported much needed supplies provided by the National Guard to McCormick Place’s make-shift hospital.
Grab-a-Java is reminding us that "Everything Will Be Ok"
Grab-a-Java, a local coffee shop with two locations in Springfield, is using art to remind everyone “everything will be ok”. In addition, the coffee shop is staying open to keep all the essential workers fueled and doing all they can to protect their customers and employees from the spread of COVID-19.
Since Fitzgerald’s is closed, they are holding a series of “Stay At Home Concerts”, during which an artist rides around in a pickup truck throughout the neighborhoods performing music and taking song requests. This is also available as a live stream and they are accepting donations for their staff via Venmo.
Fox Valley Auto Group stepped up during this pandemic by providing their loaner vehicles as a form of free, safe and reliable transportation for health care workers on the frontline. They completely sanitized the cars and provided a full tank of gas so health care workers can use them at no charge.
Ace Sign Co.’s mission to not only show their support through an inspiring community-wide display of signs, but to also provide funds to the foundations that represent those hospitals on the front lines of the current pandemic facing America.
SBA Loans continue to be available and no disruption in lending is expected. Growth Corp is open for business and we do not foresee any interruptions in service. However, we have asked our staff to limit face-to-face meetings. Email and virtual meetings will be utilized as much as possible during these uncertain times.
Concerns/Questions About Your Existing 504 Loan
If you have questions or concerns about how this may impact your SBA 504 Loan, feel free to reach out to Growth Corp’s Servicing Team at 217-241-3000 or contact any member of our Servicing Team:
- Randy Neumann | 217-241-3636 | firstname.lastname@example.org
- Becky Minett | 217-241-4638 | email@example.com
- Braden Pope | 217-241-3635 | firstname.lastname@example.org
- Visit sba.gov/coronavirus.
- For information on all federal programs, visit usa.gov/coronavirus or usa.gov/espanol/coronavirus (en Español).
- The IRS has established a web page to help taxpayers and businesses affected by the coronavirus.
- The U.S. Department of Labor has resources to help workers and employers prepare for the COVID-19 virus, including use of the Family and Medical Leave Act.
- New guidance outlines how states can administer their unemployment insurance programs to help Americans affected by coronavirus.
- Illinois has set up a website dedicated to Residents and Small Businesses impacted by Coronavirus.
WOULD AN SBA 504 REFINANCE LOAN HELP ME?
Cash-out Refinance – Eligible borrowers can obtain up to 20% of the appraised value on their assets to use towards future operating expenses (cash-out). The maximum loan-to-value for this option in 85% of the borrower’s real estate and equipment based on acceptable appraisals.
Consolidate Debt – Borrowers can often consolidate total debt obligations at a lower overall interest rate. Not only can this ease the burden of having loan obligations to several different lenders, it can also improve the borrower’s monthly debt service requirements.
Extended Maturity Dates – SBA 504 Refinancing offers terms up to 25 years and rates fixed for the life of the loan. Converting short-term debt into long-term financing can materially improve cash-flow.
No Out of Pocket Expenses – SBA 504 Refinancing allows borrowers to roll the ordinary closing costs and expenses into the loan.
NOTE: To be eligible for a 504 Refinance, the debt to be refinanced must have been for commercial real estate or equipment, be at least 24 months old and not be a government loan.
- The borrower’s equity in the collateral often fulfills the down payment requirement
- Low, fixed interest rate on 504
- Long loan term – up to 25 years
- Access cash in the building
- Payment stability
- Protection from balloon payments
- Up to $5 million for SBA portion of loan, no limit on overall project size
- Keep your lender or allow us to match you with one of our lending partners
504 Refi Stats
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