Business Funding Assistance

The Coronavirus Aid, Relief, and Economic Security (CARES) Act offers programs to provide assistance to businesses. Read a summary of these options; the Small Business Owner’s Guide to the CARES Act; or view a simple flow chart. Key components include:

PPP Loan Forgiveness: Under the PPP, loans may be forgiven if borrowers use the proceeds to maintain their payrolls and pay other specified expenses. PPP borrowers must apply for loan forgiveness with the lender that processed the loan.

  • The Economic Injury Disaster Loan Program (EIDL), offers lower interest loans to designated disaster areas for use as working capital by small businesses that have suffered substantial economy injury due to COVID-19. These loans can be used to pay fixed debts, payroll and accounts payable, as well as other expenses that can’t be paid due to the impact of the disaster. The grant now includes a grant component of up to $10,000. Apply directly through the Small Business Administration (SBA) website.
  • The Main Street Lending Program offers relief for a broader scope of businesses than CARES Act by focusing on both small and mid-sized businesses. Firms that have taken advantage of the PPP may also take out Main Street loans. Loans are not forgivable. The program will operate through 3 facilities: Main Street New Loan Facility (MSNLF), Main Street Priority Loan Facility (MSPLF), and Main Street Expanded Loan Facility (MSELF). View the term sheets and FAQs.
  • SBA Express Bridge Loans allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 quickly.
  • The SBA Debt Relief program provides financial relief by paying principal, interest and fees current and new 7(a), 504, and microloans.
  • Employee Retention Credit is designed to encourage businesses to keep employees on their payroll. The refundable tax credit is 50% of up to $10,000 in wages paid by an eligible employer whose business is fully or partially suspended because of COVID-19 or whose gross receipts declined by more than 50%.
  • Payroll Tax Deferral allows employers and self-employed individuals to defer payment of the employer share of the Social Security tax they otherwise are responsible for paying the federal government with respect to their employees. The deferred employment tax can be paid over the next two years, with half of the required amount to be paid by Dec. 31, 2021 and the other half by Dec. 31, 2022.
  • Bankruptcy Relief - The CARES Act provides bankruptcy relief for small businesses by raising the maximum debt threshold for eligibility to $7.5 million and excluding coronavirus-related payments from the federal government from income for purposes of filing bankruptcy.
  • Small Business Counseling - The CARES Act includes $265 million for counseling, training and related assistance to small businesses affected by COVID-19 through grants to SBA resource partners, including Small Business Development Centers and Women’s Business Centers, and includes $10 million for the Minority Business Development Agency to provide these services through Minority Business Centers and Minority Chambers of Commerce.

Shared Work Program

The Texas Workforce Commission (TWC) Shared Work Program is an alternative to layoffs. The voluntary program was developed to help Texas employers and employees withstand a business slowdown. Employers can reduce the work hours of employees rather than laying them off. TWC pays shared work employees partial unemployment benefits to supplement the wages lost to working reduced hours. 

Third-Party grants