Emergency Resources for Small Business Owners in Southern California.

Funding/Financial Resources

UPDATE on Paycheck Protection Program:

On July 3rd, President Trump signed the “PPP Extension Act” - now borrowers have until August 8th to apply for their initial PPP loan.

There is $130 billion left in the PPP funds for Small Businesses. Here is the link to all participating lenders in every state.

This is different from the “PPP Flexibility Act” that was passed on June 5th. This extends the “forgiveness period” where Small Businesses can apply for loan forgiveness until the later date of December 31st.

60% of the loan must be used on payroll in order for the loan to be forgiven.

New borrowers now have 5 years to repay, raised from the 2 years it was previously.

Check out if you are eligible and find the application here https://www.sba.gov/funding-programs/loans/coronavirus-relief-options/paycheck-protection-program


On 15th June the Small Business Association opened applications for the grant and loans program. Freelancers, gig workers, contractors can apply for a $1,000 loan that does not have to be repaid. Small businesses and agricultural businesses can apply for $1,000 per employee, up to the amount of $10,000. These grants are available until December 16, 2020. Apply here. Find out more information here.

Other Resources:

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California Employment Development Department(EDD) Resources for Employers

(Tax Extensions, Rapid Response Layoff Aversion & Other Programs)

  • Rapid Response for Small Businesses Threatened With Closure due to COVID-19:
    If your business is experiencing drastic impacts such as mass layoffs or closure contact the EDD’s Rapid Response Team. Teams provide immediate on-site assistance to employers and employees. For information view the Rapid Response Services for Businesses Fact Sheet (DE 87144RRB) (PDF) or contact your local America’s Job Center of California. Alternatively, contact the Los Angeles Economic Development via email to: covid19response@LAEDC.org.
  • Tax Assistance:
    Employers suffering financial hardship resulting from COVID-19 may request a 60 day tax extension to file or deposit state payroll taxes without penalties or interest. Contact the EDD’s Taxpayer Assistance Center within 60 days of delinquency to request your extension.

How to Request Your Penalty Waiver

  • Login or Register for Your EDD Online Services Account.
  • Complete and Submit the online Penalty Waiver Request Form.
  • Alternatively, Contact the EDD by phone at: (888)745-3886.
  • Work Sharing Program: If you are a California business with a minimum of two employees and at least 10% of your workforce is affected by a loss of wages of between 10% and 60% you may be eligible for work sharing. The work sharing enables workers to keep their job while receiving supplemental unemployment insurance. Employers benefit by:
    • Reducing or removing the need for layoffs.
    • Allowing you to keep trained employees for a quick return to business as usual once conditions improve.
    • Bypassing the need for costly recruiting, hiring, and training of new employees.

How To Enroll in the EDD Work Sharing Program (Employers)

Employee Information about the Work Sharing Program

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  • Information for your employees
    Employees must meet the following criteria:
    • Be permanent regular employees(not seasonal, contract, temporary).
    • Have qualifying quarters for regular California Unemployment Insurance.
    • Have a minimum reduction in hours and wages of 10% and not more than 60%.
    • Have completed at least one week of normal hours without hour and wage reduction.
  • To apply get the claim forms from your employer who must also be enrolled in the Work Sharing Program.
  • Visit the Work Sharing Program or contact the EDD Special Claims Office at 916-464-3300 for more information.

Additional COVID-19 Disaster Relief Funding Sources for Small Businesses

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Coronavirus Federal Tax Relief

As of March 18, the Federal Tax filing date has been extended to July 19. Additionally, the Internal Revenue Service(IRS) and Treasury Department are allowing individual, non-corporate (including self-employment) tax filers (also applies to employees), deferment up to $1million dollars of Federal income tax without interest or penalties. This allowance is extended to $10 million dollars for corporate taxpayers.

Visit the IRS Coronavirus Tax Relief Page for more information.

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