Businesses in low-income areas are eligible for relief funding of up to $ 15,000
The US Small Business Administration provides cash advances of up to $ 15,000 for small businesses and nonprofits located in low-income areas, including much of Oakland. Money is available through the COVID-19 Economic Disaster Loan program, which was created by the American Rescue Act enacted by President Biden in March. Advances are not loans and do not have to be repaid.
According to a menu Used by the SBA to administer the loan program, the majority of Oakland neighborhoods are low-income neighborhoods and businesses in these areas are eligible for assistance. This includes historically deprived areas such as East Oakland, parts of West Oakland, the downtown area, and the neighborhoods surrounding Lake Lake Merritt.
To be eligible for cash advances, businesses must apply for a loan under the COVID-19 Economic Disaster Lending Program. However, applicants do not have to qualify or accept the loan to receive one or both of the advances. A full list of additional requirements can be found here. The deadline to apply is December 31, 2021.
The âtargeted advanceâ of the first economic disaster loan is a payment of $ 10,000. To be eligible for this funding, business owners must be able to demonstrate a 30% drop in income within an eight week period starting March 2, 2020 or later, and have fewer than 300 employees. .
The second set of funds that small businesses can receive under the program are “Targeted Additional Advances,” which provide $ 5,000 to business owners who have experienced a drop of more than 50% in their income over the course of a year. ” an 8 week period beginning March 2, 2020 and have 10 or fewer employees.