Active Members - Illinois Venture Capital Association
Applications for various loan programs
Applications for
Various Loan Programs

April 30, 2020

 

Today's update:

White & Case - April 30, 2020 - Fed Announces Expansion of Scope and Eligibility for Main Street Lending Program - The Federal Reserve Board this morning issued the attached press release, revised and new term sheets, and FAQs for the Main Street Lending Program. The press release includes the following explanation of the changes being made.  Download Press release here.

White & Case - April 15, 2020 - We have created an app which can help determine an applicant's eligibility for CARES Act Title IV loans and loan guarantees, CARES Act Title IV payroll grants for aviation workers, and loans under the Main Street Loan Facilities recently established by the Federal Reserve ("MSLFs").  The app provides an easy-to-use step-by-step process to make an initial assessment of an applicant’s eligibility for such support, and the conditions imposed under the CARES Act or under the MSLFs for receiving such support.  The app can be accessed by clicking this link on a laptop, a desktop or a smartphone.


4.9.2020  With thanks to our friends at NVCA.  Step-by-step guidance for VC portfolio companies to complete PPP form.

https://nvca.org/wp-content/uploads/2020/04/NVCA-PPP-Loan-Application-Guidance-revised-April-9.pdf

4.7.2020 - KRD:  The SBA says it’s ready to make immediate “loan advances” of up to $10,000 to companies hurt by the coronavirus.   We want to make sure no one misses out on this grant opportunity. It’s an overlooked feature of the $2.2 trillion coronavirus act, different from the Paycheck Protection Program that’s getting more attention.

You should apply for this grant directly from the SBA on their website: click here. The link will take you to the Economic Injury Disaster Loan (EIDL) application. You can download a PDF of our recommendations for filling out the application here. The EIDL program is typically offered by the SBA when disasters strike, but Congress has expanded the program in its COVID-19 response bill.  Any business, including a sole proprietor with or without employees, is eligible. That can include landlords, vendors or self-employed contractors.

If you qualify, the grant is available even if you apply for a PPP loan. If you do apply for a PPP loan, it will not reduce your PPP loan amount. However, the grant will be subtracted from the amount of your PPP loan forgiveness, and you will have to repay the $10,000 over two years.

4.3.2020 - PPP Loan Application is Available: Monies will be disbursed on a “first come, first served” basis. Download here.

    • You can apply through any existing SBA 7(a) lender or through any federally insured depository institution, federally insured credit union, and Farm Credit System institution that is participating. Other regulated lenders will be available to make these loans once they are approved and enrolled in the program. You should consult with your local lender as to whether it is participating. All loans will have the same terms regardless of lender or borrower. A list of participating lenders as well as additional information and full terms can be found at www.sba.gov.

4.3.2020 - COVID-19 ECONOMIC INJURY DISASTER LOAN APPLICATION (EIDL) Can be found HERE

4.3.2020 -The Chicago Small Business Resiliency Loan Fund is now  open for applications ! This $100 million fund will provide low-interest grants to thousands of Chicago small businesses suffering due to COVID-19.

    • Due to the high expected demand, the number of Resiliency Fund loans will be limited. Applications will be reviewed on a rolling first-come, first-served basis. We therefore recommend applying as soon as possible.  Please visit chicagoresiliencyfund.com  to start your application and for more information about loan terms, business requirements, application information requirements and required attestations.  In the event the website is overwhelmed, we recommend checking back often to submit your application. 
    • The Resiliency Fund has a team of trusted experts at your service to guide you through the application, underwriting and closing phases of your loan. Questions can be submitted in  English  and  Spanish . Additionally, the City of Chicago has a network of  Neighborhood Business Development Centers  to provide free remote/virtual assistance to business owners interested in applying for the Chicago Small Business Resiliency Loan Fund.
    • The City is committed to leveraging every dollar available to business owners from any source in order to provide as much funding as possible to Chicago's small businesses. The Resiliency Fund is structured to complement the new federal  Paycheck Protection Program  that the Small Business Administration (SBA) has launched. The City and its partners will seek to provide all Resiliency Fund loan applicants with the best offer available, including from the SBA's new program. 
    • In the event that you/your business does not qualify for this program, please look at the  City’s resource website  to find other programs that may meet your needs. Additionally, please visit www.chicago.gov/BACPCOVID19  for resources specific to businesses, consumers and employees.
Illinois Small Business Emergency Loan Fund - DCEO and the Illinois Department of Financial and Professional Regulation (IDFPR) are establishing the Illinois Small Business Emergency Loan Fund to offer small businesses low interest loans of up to $50,000.

Businesses located outside of the City of Chicago with fewer than 50 workers and less than $3 million in revenue in 2019 will be eligible to apply. Successful applicants will owe nothing for six months and will then begin making fixed payments at a below market interest rate for the remainder of a five-year loan term. Starting this Friday, March 27th, interested businesses will be able to express interest at a form that will be posted here.

Who is eligible?  Small businesses located outside of the City of Chicago with fewer than 50 workers and less than $3 million in revenue in 2019 can apply. Small businesses within the City of Chicago can apply to a similar loan program here.

What can loan funds be used for?  Loans can be used to support working capital.

How do businesses apply?  Businesses will be able to complete an interest form on this web page on Friday, March 27, 2020.

The form is available at https://www2.illinois.gov/dceo/SmallBizAssistance/Pages/EmergencySBAIntiatives.aspx

How much money is available?  Businesses can receive up a low interest loan of up to $50,000 with a 5-year repayment period with no payments due for the first six months.

How soon will businesses receive funds?  Eligible businesses will be invited to submit a full application beginning on April 1. Once submitted, we will strive to make a loan decision within 10 days, and make funds available within two days of receiving bank information from a business.