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UGA, state agencies assisting small businesses

(Submitted photo)

Nearly 1,500 struggling small business owners from across Georgia logged in to UGA Small Business Development Center webinars Monday for guidance in applying for federal assistance during the COVID-19 pandemic.

Webinars continued Tuesday, April 7, and more may be added based on demand. At Gov. Brian Kemp’s direction, the University of Georgia, the Georgia Department of Economic Development and the Georgia Department of Community Affairs partnered to create a website to provide ongoing information to help small businesses.

SBDC consultants made eight presentations Monday and will oversee eight more today in an attempt to reach as many small businesses as possible.

“We will be available to address any questions that small business owners have regarding these emergency relief programs,” SBDC Director Allan Adams said Monday. “We recommend that people check the website frequently for updated information.”

The Coronavirus Aid, Relief, and Economic Security (CARES) Act, signed into law on March 27, 2020, allocates $349 billion to help small businesses keep workers employed amid current circumstances. The CARES Act provides funding for the Paycheck Protection Program (PPP), modifies the existing Economic Injury Disaster Loan (EIDL) program and provides immediate loan payment relief for current SBA 7(a) borrowers.

More information about each program is provided through the webinars, as well as on the COVID-19 Relief website at www.georgiasbdc.org/georgia-small-business-recovery.

The informational PowerPoint used in the webinars is also on the site, and a recorded version of one of the webinars will be posted soon.

The site will be updated frequently. SBDC consultants from 17 regional offices in Georgia also are available to answer questions.

Here are some frequently asked questions and SBDC responses from Monday’s webinars. More FAQs and responses will be added to the website.

Can a business apply for more than one loan, such as EIDL and PPP loans?

Yes, you can apply for both at the same time.

How long will it take for a business owner to receive money from the EIDL advance?

The SBA’s goal is to disburse the EIDL advance within 72 hours, although the heavy volume of applications now means it could take a week or maybe more. The PPP disbursement will depend on the lender and its internal process.

If I have applied through the SBA website for the EIDL cash advance, do I also have to contact a lender?

No. The EIDL advance comes directly from the SBA, so there is no reason to contact a lender.

In completing the form for the $10,000 EIDL advance, am I also applying for the EIDL loan?

Yes. The $10,000 is an advance on the loan. However, the $10,000 does not have to be repaid.

Am I automatically guaranteed the full $10,000 when I apply for the EIDL advance?

No. The SBA will determine the amount you receive as an advance based on the information submitted in the application.

Are 1099 workers included in the forgiveness amount provided within the PPP?

Based on the information available now, the 1099 workers are not included in an employer’s calculation of payroll, but they would be able to submit their own request for a PPP loan.

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