Disaster loans and similar support

Veem is committed to help small and medium businesses through the COVID-19 crisis. We will keep updating this page with useful updates.

At Veem, we understand that during this time, businesses are making a concerted effort to continue operations, protect cash flow, and most importantly, maintain the health and safety of their team. Veem’s payment network offers a 24/7, secure, and fully-remote option to facilitate payments and more. Our users can feel comfortable knowing they have access to all of the information they need to continue their work.

The CARES Act

On Friday March 27, 2020 Congress passed the Coronavirus Aid, Relief and Economic Security Act (CARES Act). The CARES Act provides funding to the US Small Business Administration’s (SBA) Economic Injury Disaster Loan (EIDL) program and Paycheck Protection Program (PPP).

Paycheck Protection Program (PPP)

The CARES Act also supports the Paycheck Protection Program, backed by the SBA, and facilitated by banks, private lenders and other financial institutions. We have included the latest details on the PPP below. Veem will automatically notify our users via email when the application becomes available — no sign-up necessary. If you are not already a Veem user, sign up for a free account here.

The PPP from the CARES Act might be applicable to you. The loans can be viewed as a low cost non-dilutive option for small businesses.

  • Businesses with fewer than 500 employees are eligible. Businesses must aggregate all employees on an affiliate basis, including subsidiaries. Criteria for affiliates is still being defined.
  • Providers of the loans include banks and lenders already enrolled in the SBA program, as well as other lenders approved by the SBA and the Secretary of the Treasury.
  • Loans will be entitled to complete deferment of interest payments for a period of one year.
  • The maximum loan amount is the lesser of A) $10 million or B) 2.5 times the average monthly payroll costs for the one-year period before the loan is made (giving effect to any seasonality-based adjustments and based on a shorter period for business less than a year old) for the applicable borrower.
  • There are restrictions on the use of proceeds: payroll, rent, utilities and sick leave are among permitted uses of proceeds.  In addition, proceeds of loans may be used to make interest payments on other debt obligations that were incurred prior to February 15, 2020.
  • Portions of the loans will be eligible for forgiveness.

Learn more

Economic Injury Disaster Loans (EIDL)

The SBA’s Economic Injury Disaster Loan program extends low-cost capital to small business owners. These loans are funded by the US federal government, not by banks.

Applications are open to qualifying businesses affected by the COVID-19 pandemic today. Businesses in every state and territory are eligible to apply for EIDL.

Learn more about the SBA’s expanded provisions and apply for an EIDL loan here.

If you’re considering applying for an EIDL loan, Veem is offering complimentary consultations to help ease the application process.

Learn more

We can’t list all other programs, but here are some that are getting much attention.

New York City Small Business Loans

Overview: Businesses with fewer than 100 employees who have seen sales decrease by 25% or more will be eligible for zero-interest loans of up to $75K to retain employees and ensure business continuity.

Eligibility:

  • Located in NYC
  • Demonstrate COVID caused at least 25% decrease in revenues.
  • Employ 100 employees or less in total across all locations.
  • Demonstrate ability to repay loans.
  • No outstanding tax liens or legal judgments.

How to apply:

Apply online here

San Francisco Small Business Loans

Overview: Businesses with less than 100 employees who have seen sales decrease by 25% or more will be eligible for zero-interest loans of up to $75K to retain employees and ensure business continuity.

Eligibility:

  • Located in NYC
  • Demonstrate COVID caused at least 25% decrease in revenues.
  • Employ 100 employees or less in total across all locations.
  • Demonstrate ability to repay loans.
  • No outstanding tax liens or legal judgments.

How to apply:

Fill out form   Then email form to [email protected]

SF/Main Street Launch Small Business Loans

Overview: Non-profit Main Street Launch is offering loans of up to $250K, with 3.5%-7.75% interest rates.

Eligibility Discussion and Application: Schedule a 20-30 minute eligibility phone call at 415-213-8677 or email [email protected].

Los Angeles Loan Program

Overview: The city’s Small Business Emergency Microloan Program is offering loans ranging from $5,000 to $20,000 with 0-3% interest rates.

Learn more

International – Resource Links

Small Business Capital Resource Consultation

Veem helps thousands of small businesses pay, get paid and find fundinging for their working capital needs. In this challenging time for small businesses, Veem is working with customers to help them navigate and evaluate potential lending alternatives. Veem is not a lender and does not collect fees for its consultation services. In some cases we may introduce you to a lending source that may pay us a referral fee. We will inform you if that is the case. We do not prepare and submit loan applications. We simply share our expertise to help our customers be aware of alternatives and to help them be prepared to efficiently manage a potentially confusing and time consuming process. We know that helping our customers succeed in financing their businesses will help us continue to serve their payment needs for a long time to come.

Our goal is to educate our customers about how banks and the SBA typically evaluate your business. Any analysis or estimates we provide as part of our consultation are for educational purposes only. We perform our analysis based on information at our disposal and we cannot guarantee that you will be approved or receive funding. We are not a financial or legal advisor under federal or state law. We are not a replacement for personal, professional advice or assistance regarding your finances, accounting or credit history.

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