Phone: 410-213-1200

Small Business Administration (SBA) Economic Injury Disaster Loans (EIDL)

  • Can be used for working capital for fixed debts, payroll, accounts payable, and other operating expenses
  • Loans up to $2,000,000 (collateral required for loans $25,000 and above)
  • Repayment terms up to 30 years with a possible 4-month deferment
  • Interest rate 3.75%
  • $10,000 advance available for emergency capital (grant that doesn’t have to be repaid as long as it’s used for qualified expenses)

Requirements to receive the loan:

  1. Business has no more than 500 employees
  2. Also available to a sole proprietor (with or without employees) or an independent contractor
  3. No principal of the business with a 50% or greater ownership is more than 60 days delinquent on child support
  4. Not available to an agriculture enterprise (farm) except for aquaculture enterprise, agricultural cooperative, or nursery
  5. Applicant cannot derive more than one-third of gross annual revenue from legal gambling activities
  6. Applicant cannot be in the business of lobbying
  7. Applicant cannot be a state, local or municipal government entity and cannot be a member of congress

Items needed to prepare the application:

  1. Gross revenue for the 12-month period prior to January 31, 2020
  2. Cost of goods sold for the 12-month period prior to January 31, 2020
  3. For rentals – Lost rents due to the disaster
  4. For non-profits – Cost of operation for the 12-month period prior to January 31, 2020
  5. Date business was established
  6. Date current ownership was established
  7. Name, title, address, phone, title, email, SSN, ownership %, DOB, and place of birth for all owners
  8. Need to answer questions on each owner (been convicted of a crime, suspended or disbarred from contracting with the Federal government, and/or currently indicted)

Other items needed to apply:

  1. Tax Information Authorization (IRS Form 4506T)
  2. Schedule of Liabilities (SBA Form 2202
  3. Personal Financial Statement (SBA Form 413)
  4. Other information may be requested (most likely will be asked for):
  5. Complete copy, including all schedules, of the most recent Federal tax return for the business, all principals, partners, members, and affiliates
  6. If 2019 return is not completed, a year-end profit and loss statement and balance sheet
  7. A current year-to-date profit and loss statement
  8. Additional Filing Requirement for EDIL (SBA Form 1368), this form lists monthly sales for the last 3 years prior to the disaster and a forecast of income and expenses during the period of disaster

Coronavirus Aid Relief Economic Security Act (CARES) SBA Paycheck Protection Program Loan (PPP)

  • Can be used to cover business costs including payroll, employee benefits and leave, mortgage interest payments, debt refinancing, rent, and utilities
  • Loans up to the lesser of $10,000,000 or 2.5 times average monthly payroll cost (no collateral or personal guarantees)
  • Repayment terms up to 10 years with a 6-month to a year deferment
  • Interest rate of no more than 4%
  • Possible loan forgiveness for up to 8 weeks of covered costs

Requirements to receive the loan:

  1. Business has no more than 500 employees
  2. Also available to a sole proprietor (with or without employees) or an independent contractor
  3. Business was established on or before February 15,2020

Items needed to apply:

  1. Good faith certification that the loan is necessary because of economic uncertainty caused by COVID-19 and that the funds will be applied to maintain payroll and make required payments
  2. Borrower must certify that he/she does not have an application pending for a loan duplicative of the purpose and amounts applied for here
  3. From Feb 15, 2020 to Dec 31, 2020, the borrower has not received a loan duplicative of the purpose and amounts applied for here (Note: there is an opportunity to fold emergency loans (EIDL) made between January 31, 2020 and the date of this loan if you qualify
  4. Once you contact an SBA lender, they will provide additional guidance on what they require to apply (this will vary by bank)

MD Small Business COVID-19 Emergency Relief Loan Fund

  • Working capital loan to support payroll, rent, mortgage, utilities or other operating expenses.
  • Loans up to $50,000 (no collateral or personal guarantees)
  • Repayment terms up to 36 months after a 12-month deferment
  • 0% interest for 12 months, then 2% for remaining 36 months

Requirements to receive the grant:

  1. Must have W-2 wages and 50 employees or less (full and part-time count)
  2. Must have a Maryland Unemployment Insurance number
  3. Business must have been established in MD prior to March 9, 2020 and in good standing with the State
  4. Minimum personal credit score of 575
  5. Non-profit businesses are NOT eligible
  6. Annual revenue must be under $5,000,000
  7. Must demonstrate financial stress or disrupted operations: notices from tenant closing operations and not being able to pay rent, notice of inability to pay rent due to reduced sales, suspended operations, increased costs due to COVID-19 prevention, notice of disrupted supply network due to shortage of materials, etc.

Items needed to apply:

  1. Two years of historical financial statements (QuickBooks statements qualify)
  2. Interim financial statements (January & February 2020 or January to March 2020)
  3. SDAT Certificate of Good Standing (screen shot from SDAT website will suffice)
  4. Completed and signed W-9 Form
  5. 6-digit NAICs Code
  6. Maryland Unemployment Insurance account number
  7. EIN (if you have one) or SSN of applicant
  8. Detailed explanation of how COVID-19 has impacted your business and the purpose of the grant funds
  9. Evidence of business disruption (ex. Reduced sales, inability to make loan payments, rent payments, etc.)
  10. Date Company was founded
  11. State of Incorporation
  12. If Incorporated in another State, date the business was registered in MD
  13. There are various questions that need to be answered as to whether any partner, director, officer, member, stockholder or guarantor has been convicted of a criminal offense, filed for bankruptcy, been a party to litigation in the past 2 years, owe any outstanding judgments, owe any delinquent taxes.

MD Small Business COVID-19 Emergency Relief Grant Fund

  • Working capital grant to support payroll, rent, mortgage, utilities or other operating expenses.
  • Grants up to $10,000 not to exceed 3 months of cash operating expenses
  • This does not have to be repaid

Requirements to receive the grant:

  1. Must have W-2 wages and 50 employees or less (full and part-time count)
  2. Must have a Maryland Unemployment Insurance number
  3. Business must have been established in MD prior to March 9, 2020 and in good standing with the State
  4. Annual revenue must be under $5,000,000
  5. Must demonstrate financial stress or disrupted operations: notices from tenant closing operations and not being able to pay rent, notice of inability to pay rent due to reduced sales, suspended operations, increased costs due to COVID-19 prevention, notice of disrupted supply network due to shortage of materials, etc.

Items needed to apply:

  1. Two years of historical financial statements (QuickBooks statements qualify)
  2. Interim financial statements (January & February 2020 or January to March 2020)
  3. SDAT Certificate of Good Standing (screen shot from SDAT website will suffice)
  4. Completed and signed W-9 Form
  5. Maryland Unemployment Insurance account number
  6. 6-digit NAICs Code
  7. EIN (if you have one) or SSN of applicant
  8. Detailed explanation of how COVID-19 has impacted your business and the purpose of the loan funds
  9. Evidence of business disruption (ex. Reduced sales, inability to make loan payments, rent payments, etc.)
  10. Date Company was founded
  11. State of Incorporation
  12. If Incorporated in another State, date the business was registered in MD
  13. There are various questions that need to be answered as to whether any partner, director, officer, member, stockholder or guarantor has been convicted of a criminal offense, filed for bankruptcy, been a party to litigation in the past 2 years, owe any outstanding judgments, owe any delinquent taxes.

DE Hospitality Emergency Loan Program (H.E.L.P.)

Items needed to apply:

  1. Date business was established
  2. State of Incorporation
  3. 6-digit NAICs Code
  4. 2019 Revenue
  5. Number of full-time employees
  6. Number of Part-time employees
  7. Name, address, title, SSN and % of ownership of all owners
  8. Information on any previous State funding
  9. Information on any other business locations (address, # of part-time and full-time employees)
  10. Total amount of funding requested (up to $10,000)
  11. List of the what will be paid with the funds (bill type, creditor amount due and date due) copies of the bills and/or statements need to be attached to the application
  12. Proof of payment for the last 12 months of the expenses (bills) from above that you will use the funds for (this could be a statement from the creditor or a letter saying the bills were paid for the previous 12 months)
  13. Financial statements for the most recent year completed
  14. Copy of the Delaware Business License

The following two files are examples of the information that would be required by the banks for the Payment Protection Program (PPP) loan. We do not recommend completing the application form (SBA 1919) at this time as there will likely be a special application for the PPP loan and will be offered by the individual banks. However, the excel spreadsheet (or something similar) will likely be used in calculating the required wage totals.

SBA 1919 Form

Copy of Payroll Payment Protection (PPP) 7a Portfolio Info – Max Loan Ca…