Very important Note: As of April 27, the Small Business Administration has resumed accepting new applications for the Paycheck Protection Program. For the Economic Injury Disaster Loan Advance, the SBA is currently processing existing applications, and may reopen to new applications. We will keep you updated as we have new information.
During this challenging go out, Lyft drivers play a critical part, linking men and women to essential services and you may items-eg medical care, food and medicine. We profoundly delight in their efforts to your organizations, while having remember that making money tends to be difficult nowadays.
Small business owners, including independent contractors and you can mind-working someone, meet the criteria to try to get an economic Injury Emergency Mortgage get better as much as $ten,100
Underneath the CARES Operate, the little Company Management (SBA) created the brand new programs to help with small businesses, plus those who are care about-functioning, only people otherwise separate contractors. Many people into Lyft platform was worry about-employed or very own their own providers and may also meet the requirements.
These types of SBA programs are this new but still within the innovation, generally there is a lot we do not know about how applications will work and facts ents, and can continue to display position centered on the comprehension of this new software. Money is limited, so we was promising those who wants to apply at exercise as quickly as possible.
There are two programs offered which could bring dollars provides and you can forgivable money to qualified people. Continue reading for lots more info, and you will and select pointers from the You Chamber out of Trade and Home business Administration.
Economic Injury Crisis Financing Disaster Improve: opportunity for small businesses, including independent contractors and self-employed individuals, to receive a cash loan advance that does not have to be repaid. You can apply online through the SBA here.
Remember that not absolutely all banking institutions / borrowing from the bank unions are participating
How much can i found? According to the SBA, the grants could be up to $10,000, but the actual amount awarded will be determined by the Small Business Administration and could be significantly lower.
How to implement? You can access the grant by applying for a COVID-19 Economic Injury Disaster Loan. The application form is on the SBA’s website here, and should only take 5-10 minutes to complete. There is a check-box on the application where you can indicate that you would like to be considered for the cash advance. You do not have to take out or be approved for a loan to receive the cash advance. You can also find detailed directions from the US Chamber of Commerce here.
Whenever can i located percentage? According to the SBA, advance funds will be made available within 3 days of a successful application. However, processing times have been delayed due to the large volume of applications.
Salary Defense System: in addition to the Economic Injury Disaster Loan Emergency Advance, some drivers may also want to apply for loans through the SBA’s Paycheck Protection Program. This is a new government program so we encourage you to review the conditions of the program in detail. Loan processing times may be very delayed as banks and the government work to meet the overwhelming demand for the program. Note that if you intend to apply to the Paycheck Protection Program, you may contact your local unemployment office to determine whether participation will impact your eligibility for unemployment benefits.
What is actually this option? This is a new program from the SBA that can provide loans to cover lost earnings for small businesses (including independent contractors) for an 8-week period, and can be forgiven with proof that the loan has been used for payroll costs.
How can i apply? You can apply for the loan through your bank or credit union. The SBA has a tool for finding participating lenders here. You will need to complete the loan application form (your bank may have an online version), and provide documents as proof of your income (the government has not yet finalized the requirements, but it will likely include tax forms such as the 1099-MISC).
Whenever should i apply? Independent contractors and self-employed individuals can apply beginning April 10 through June 30. There is a cap on the funds available for the loan, so if you choose to apply, you should do so ASAP.
How to obtain the mortgage forgiven? Submit a written request to your lender. At least seventy five percent of the loan proceeds must have been spent on qualified payroll expenses in order for the loan to be eligible for forgiveness. Note: The SBA has not yet shared the process for how the loan forgiveness will work for self-employed independent contractors. If the loan is not forgiven, you will have to pay it back over two years at an interest rate of 1%. In addition, if you have received an Economic Injury Disaster Loan Emergency Advance, this amount https://paydayloanssolution.org/payday-loans-ak/ will be subtracted from the amount forgiven.
In which should i find much more information? You can find more information about the Paycheck Protection Program at the following links: