FINANCIAL RESOURCES AT YOUR FINGERTIPS

We've compiled a listing of grants, loans and funds that are available to Illinois' businesses. Look for additions as they become available.

Para asistencia en español con las solicitudes de subvenciones y préstamos, contacte a al Cámara de Comercio Hispana Regional de Aurora al 331-442-1617. 

PAYROLL PROTECTION PROGRAM (PPP) Updates 2021

SEE PPP SECTION BELOW FOR INFORMATION ABOUT THE PPP PROGRAM

PPP TAX TREATMENT
We've received a lot of questions on the tax deductibility of the PPP loans. The new law overturns the IRS ruling and provides that regular business expenses paid for with PPP loan proceeds shall be deductible for tax purposes (applies to past and future loans). 
 
Thank you to Representative Underwood and Representative Foster for discussing the importance of PPP Deductibility with us and other local chambers.
 
EXPANDED LIST OF EXPENSES QUALIFYING FOR FORGIVENESS 
The list of expenses that PPP funds can be used for that qualify for loan forgiveness has been expanded to include: 

  • Operations Expenses - Payments for business software, cloud computing services and human resources and accounting needs that facilitate business operations.
  • Supplier Costs - Payments to a supplier for goods that are essential to the operations of the borrower pursuant to a contract or purchase order in effect before the PPP loan is disbursed, or with respect to perishable goods, in effect at any time.
  • Worker Protection Expenses - Operating or capital expenditures to comply with public health guidance related to COVID-19, such as drive-through windows, sneeze guards and the purchase of personal protective equipment (PPE).
  • Covered Property Damage Costs - Costs related to property damage or looting due to public disturbances in 2020 that are not covered by insurance or other compensation.
 
Remember: It is still the case that not more than 40% of the forgiven amount can be for non-payroll costs, which may limit how much of your loan can be forgiven. 
 
LOAN FORGIVENESS REDUCTION 
If you also received an EIDL grant, your PPP loan forgiveness will no longer be reduced by the amount of the grant. 
 
LOAN FORGIVENESS PERIOD 
The period for which expenses count toward loan forgiveness will begin on the date of loan origination and end on a date of your choosing that is between 8 and 24 weeks after origination. 
 
SIMPLIFIED APPLICATION
If your loan was for less than $150,000, there will be a simplified one-page application process for loan forgiveness.
 
"SECOND DRAW" PPP
The brand new “Second Draw” program is for small businesses, non-profits, sole proprietors, and independent contractors who have exhausted their initial PPP loan. The program will make new loans through March 31, 2021 or until the new funding is exhausted. 
 
Eligibility: You are eligible for a second draw loan if you have exhausted your first PPP loan and: 
  1. You have less than 300 employees, and  
  2. You have experienced a greater than 25% reduction in gross receipts during the 1st, 2nd, 3rd, or 4th quarters in 2020 relative to the same quarter in 2019. 
 
NEW PPP APPLICANTS
For new PPP applicants, the loan process will largely remain the same (check out the U.S. Chamber's original PPP Guide and further information below) with a few major changes: 
​
  • The PPP program is open through March 31, 2021, or until the new funding is exhausted. 
  • If you are a 501(c)(6), a local news media organization, or a housing cooperative you may be newly eligible for a loan.  
  • You may qualify even if you took advantage of the Employee Retention Tax Credit. 
  • If you are a publicly traded company, you are now prohibited from receiving a loan. 
  • The maximum loan amount is now $2 million (was $10 million). 
  • Group insurance payment can be included in your payroll costs when determining your maximum loan amount (see Step 3 in our original Guide). 
  • If you are a seasonal employer, you have greater flexibility in picking the 12-week period between February 15, 2019 and February 15, 2020 used to determine your payroll costs and thus your maximum loan amount. 
 
New borrowers have until the end of the covered period of their loan (up to 24 weeks after origination) to restore a reduction in their number of employees or reduced wages in order to avoid having their loan forgiveness reduced.  

Set-Asides: $35 billion is set-aside for first time borrowers and $15 billion is set aside for employers with 10 or fewer employees or for loans less than $250,000 for entities located in a low-income neighborhood. 

BUSINESS FUNDS

  • ​Employee Retention Tax Credit: The CARES Act created a new employee retention tax credit—that does not have size restrictions—for employers who are closed, partially closed, or experiencing significant revenue losses as a result of the coronavirus pandemic. Businesses can use this guide to help check eligibility, calculate their credit, and understand which employees count toward eligibility, among other information.

​UPDATE: Employee Retention Tax Credit has been reauthorized. The new law significantly expands the employee retention tax credit beginning on January 1, 2021. The credit expires on June 30, 2021. The prior credit was 50% on $10,000 in qualified wages for the whole year (or a maximum of $5,000 per employee). The new credit is 70% on $10,000 in wages per quarter (or a maximum $14,000 per employee through June 30th).  
 
The new law also expands which employers are eligible. Prior to the new law, the employee retention tax credit applied only to an employer who experienced a decline in gross receipts of more than 50% in a quarter compared to the same quarter in 2019. Eligibility is now expanded to include employers who experienced a decline of more than 20%. 
 
In addition, the employee cap under which it is easier to claim the tax credit has been raised to 500 employees from 100 employees. Now, employers with 500 or fewer employees can claim the credit for wages to paid to employees irrespective of whether the employee is providing services.  
 
Employers can now also receive both the Employee Retention Tax Credit and a PPP loan, just not to cover the same payroll expenses. 
  • Payroll Protection Program (PPP): This program has been extended. On June 8, the U.S. Senate, by unanimous consent, cleared the House-passed bill to extend the Paycheck Protection Program. The bill:
    • Extends the PPP loan forgiveness period to include costs incurred over 24 weeks after a loan is issued or through Dec. 31, whichever comes first. Businesses that received a loan before the measure is enacted could keep the current eight-week period.
    • Maintains forgiveness amounts for companies that document their inability to rehire workers employed as of Feb. 15, and their inability to find similarly qualified workers by the end of the year. Under the modified measure, companies would be covered separately if they show that they couldn’t resume business levels from before Feb. 15 because they were following federal requirements for sanitization or social distancing.
    • Extends the deadline to apply for a PPP loan to Dec. 31 from June 30.
    • Requires at least 60% of forgiven loan amounts to come from payroll expenses.
    • Repeals a provision from the CARES Act that barred companies with forgiven PPP loans from deferring their payroll tax payments.
    • Allows borrowers to defer principal and interest payments on PPP loans until the SBA compensates lenders for any forgiven amounts, instead of the current six-month deferral period. Borrowers that don’t apply for forgiveness would be given at least 10 months after the program expires to start making payments.
    • Establishes a minimum loan maturity period of five years following an application for loan forgiveness, instead of the current two-year deadline set by the SBA. That provision would apply to PPP loans issued after the measure is enacted, though borrowers and lenders could agree to extend current loans. It is designed to provide a direct incentive for small businesses to keep their workers on payroll by providing each small business a loan up to $10 million for payroll and certain other expenses. If all employees are kept on payroll for eight weeks, SBA will forgive the portion of the loans used for payroll, rent, mortgage interest, or utilities. Up to 100 percent of the loan is forgivable. ​To date, approximately $140 billion in PPP appropriation remains.
      Questions? The SBA has set up a call center for lenders having issues related to PPP. For guidance, lenders can call 833-572-0502.​
    • ​SBA Releases PPP Loan Forgiveness Application and Detailed Instructions
      The Paycheck Protection Program (PPP) Loan Forgiveness Application and instructions inform borrowers how to apply for forgiveness of their PPP loans, consistent with the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). As of June 2, the SBA announced it will soon issue regulations and guidance to further assist borrowers as they complete their applications, and to provide lenders with guidance on their responsibilities.
      • Addition of a new exemption from the loan forgiveness reduction for borrowers who have made a good-faith, written offer to rehire workers that was declined. 
      • Borrower-friendly implementation of statutory exemptions from loan forgiveness reduction based on rehiring by June 30. 
      • Step-by-step instructions on how to perform the calculations required by the CARES Act to confirm eligibility for loan forgiveness. 
      • Flexibility to include eligible payroll and non-payroll expenses paid or incurred during the eight-week period after receiving their PPP loan. 
      • Options for borrowers to calculate payroll costs using an “alternative payroll covered period” that aligns with borrowers’ regular payroll cycles. 

        The documents released May 15 will help small businesses seek forgiveness at the conclusion of the eight week covered period, which begins with the disbursement of their loans. The form and instructions include several measures to reduce compliance burdens and simplify the process for borrowers including:
    • Other PPP Tools:
  • SBA Economic Injury Disaster Loan (EIDL) Program: The U.S. Small Business Administration (SBA) has issued financial guidance and assistance information for businesses and employees. Aurora businesses may be eligible to receive financial assistance through the SBA-issued Economic Injury Disaster Loan (EIDL) Program which offers working capital loans up to $2 million at an interest rate of 3.75% * (2.75% for nonprofits). Email Illinois.do@sba.gov or call (312) 353-4528 (Chicago office) or (217) 747-8249 (Springfield office) to speak with a Small Business Administration team member directly.

UPDATE: The U.S. SBA announced that the deadline to apply for the EIDL program for the COVID-19 pandemic disaster declaration has been extended to Dec. 31, 2021. The deadline extension comes as a result of the recent bipartisan COVID-19 relief bill passed by Congress and enacted on Dec. 27, 2020.

Check out updated guide for SBA Economic Injury Disaster Loans: GUIDE

  • SBA Express Bridge Loan Pilot Program: Express Bridge Loan Pilot Program allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 with less paperwork. These loans can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing and can be a term loans or used to bridge the gap while applying for a direct SBA Economic Injury Disaster loan. If a small business has an urgent need for cash while waiting for decision and disbursement on Economic Injury Disaster Loan, they may qualify for an SBA Express Disaster Bridge Loan.

  • SBA Lender Match: The Small Business Association (SBA) has developed Lender Match, a free online referral tool that connects small businesses with participating SBA-approved lenders within 48 hours.

  • Small Business COVID-19 Relief Program: An impact investment loan program from the IL State Treasurer would make up to $250 million in deposits available to financial institutions throughout the state.​​
FUNDS FOR SPECIFIC INDUSTRIES
  • ​Sweet Relief Musicians Fund: COVID-19 relief fund for musicians and venues who have faced financial difficulties because of COVID-19. Must have 50% or more of you income coming from music industry and proof of cancellations. 
​ ​

NON-PROFIT FUNDS

Please note that some of the above funding sources are available for nonprofits as well as for-profit entities. The funding listed in this section is available exclusively to non-profit businesses.
  • Arts for Illinois Relief Fund: The Emergency Relief Fund is accepting requests for funding to support arts + cultural organizations struggling with immediate lost revenue and non-recoverable expenses due to COVID-19. This grant opportunity is for all arts organizations in Illinois—regardless of budget size. Organizations by, for, and about people of color will be more strongly considered for funding at this time. The majority of funds available will be for organizations located in and serving Chicago and Cook County. ​Applications reopen in September 2020. Next deadline is March 30 2021. 
       ​

PRIVATE FUNDS


  • ComEd Small Business Assistance Program​: The Small Business Assistance Program provides eligible small business customers, with a one-time grant up to $2,000 towards a past due balance. Eligible customers may also place a remaining balance into a payment plan of up to six months. To apply call 1-877-426-6331.

  • GoFundMe Small Business Relief Fund: The GoFundMe.org Small Business Relief Fund will provide micro-grants to qualifying small businesses negatively impacted by the COVID-19 pandemic. The Small Business Relief Fund is part of the Small Business Relief Initiative, a program supported by GoFundMe and its partners. The Small Business Relief Initiative will supply financial assistance and support to businesses across the country by providing grants, tools, and resources to help during the crisis. Until that Fund is depleted, GoFundMe.org will continue issuing $500 matching grants to qualifying businesses.

  • KKR Small Business Builders Grant: KKR's COVID-19 Relief Effort, KKR Small Business Builders (SBB) aims to support entrepreneurs and their small businesses around the world. The grants are designed to help business owners sustain their enterprises, maintain or create jobs, and spur economic opportunity as they respond to the ongoing COVID-19 crisis and recover from its resultant economic dislocation. KKR Small Business Builders will support companies in three key ways: access to capital, technical expertise, and network of support. Grants are up to $10,000 and focused on historically underrepresented groups. Find out more here.
AURORA REGIONAL CHAMBER OF COMMERCE
THE CATALYST FOR BUSINESS SUCCESS
​Visit us at aurora-chamber.com
Although we are currently working remotely, we are still here to help the businesses in the greater regional Aurora area.
Phone: 630.256.3180
Fax: 630.256.3189
43 W. Galena Blvd.
Aurora, Illinois 60506