Drivers Is generally Entitled to Small company Help
Very important Notice: 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.
With this difficult go out, Lyft people play a serious character, hooking up individuals to important attributes and you may merchandise-such as for example healthcare, food and medication. We seriously see your efforts toward organizations, while having keep in mind that earning money can be tough today.
Small enterprises, including separate builders and care about-employed people, meet the criteria to try to get a financial Burns off Disaster Financing progress all the way to $ten,100000
According to the CARES Act, the small Providers Government (SBA) created the newest applications to support small businesses, and people that are self-operating, sole owners otherwise separate designers. Of several vehicle operators with the Lyft system was notice-functioning otherwise own her company and may even qualify.
Such SBA applications is this new and still in the creativity, so there is much do not realize about the way the applications will work and info ents, and will consistently express reputation predicated on our very own understanding of the newest applications. Fund try minimal, therefore we was guaranteeing people that desires to affect do so as quickly as possible.
There are 2 apps readily available which will give dollars gives and you can forgivable funds to help you qualified people. Keep reading for lots more details, and you can and find pointers from the United states Chamber out-of Commerce and Small company Administration.
Monetary Burns Emergency Financing Disaster Get better: 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 totally all banking companies / borrowing unions may take place
How much can i receive? 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 do i incorporate? 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 am i going to receive payment? 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.
Income Coverage Program: 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 exactly is this choice? 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 do i use? 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 ought i use? 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 get the loan 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 will be subtracted from the amount forgiven.
Where can i come across more information? You can find more information about the Paycheck Protection Program at the following links: