Maryland Resource Guide
An A-Z Resource Guide, outlining the latest updates and actions Maryland has taken thus far.

City of Frederick Business Resiliency Micro-Grant Program https://www.businessinfrederick.com/234/Small-Business-Resiliency-Micro-Grant

The City’s Department of Economic Development has developed a Business Resiliency Micro-Grant Program activated by re-deployed departmental funds, to assist small businesses within The City of Frederick that are impacted by the COVID-19 pandemic and affiliated State Executive Orders. One-time awards of $2,500 will be available with no repayment due. This is for businesses with less than 15 full time employees.

Maryland Small Business COVID-19 Emergency Grant Relief Fund
Click here for more information and to access the application

Will provide grants up to $10,000 not to exceed 3 months of cash operating expenses for Maryland businesses and nonprofits impacted by the COVID-19 with 50 or fewer employees. Eligible uses of the grant include: working capital to support payroll expenses, rent, mortgage payments, utility expenses, or other similar expenses that occur in the ordinary course of operations.Businesses must provide evidence of business disruption, which may include but is not limited to:

• Notices from tenants closing operations and not paying rent caused by loss of income.
• Notice of inability to make loan payments due to reduced sales, suspended operations.
• Increased cost related to COVID-19 prevention measures.
• Notice of disrupted supply network leading to shortage of critical inventory or materials.
• Other circumstances subject to review on a case by case basis.

Federal Relief
On 3/25/20, the Senate approved a $2 trillion relief package designed to alleviate some of the worst effects of the economic downturn as a result of the coronavirus pandemic. The package provides $350 billion in loans for small businesses to cover salary, wages and benefits, worth 250% of an employer’s monthly payroll, with a maximum loan of $10 million. It also includes a tax credit for retaining employees, worth up to 50% of wages paid during the crisis, for businesses forced to suspend operations or that have seen gross receipts fall by 50% from the previous year. The bill will also delay payroll tax for employers, requiring half of the deferred tax to be paid by the end of 2021 and the other half by the end of 2022. For more detailed information, please see the attachments “CARES Section By Section,” “IEDC Stimulus Update,” and “SBIA CARES Summary”

Additional Resources:

MD Dept of Labor COVID 19 Layoff Aversion Fund
https://www.dllr.state.md.us/employment/covidlafund.shtml

Governor Hogan and the Maryland Department of Labor launched the new COVID-19 Layoff Aversion Fund, designed to support businesses undergoing economic stresses due to the pandemic by preventing or minimizing the duration of unemployment resulting from layoffs. Businesses can apply for up to $50,000 in state money to keep employees on the payroll. Funds from the layoff aversion fund can be used several ways, including purchasing equipment to allow employees to work from home, cleaning services at businesses delivering essential services and other measures aimed at staving off layoffs. One page flyer: http://www.labor.maryland.gov/employment/covidlafundflyer.pdf 

Maryland Department of Labor Work Share Program
http://www.labor.maryland.gov/employment/worksharing/

Work Sharing is a voluntary program that provides an alternative to layoffs for employers faced with a temporary, non-cyclical decline in business due to lower economic activity. The program is designed to avoid layoffs by preserving jobs for trained workers

Maryland COVID-19 Emergency Relief Manufacturing Fund
This $5 million incentive program helps Maryland manufacturers to produce personal protective equipment (PPE) that is urgently needed by hospitals and health-care workers across the country. More details expected to be announced by Friday, March 27, 2020. When they are, they will be found here: https://commerce.maryland.gov/fund/maryland-covid-19-emergency-relief-manufacturing-fund 

Relief for Taxpayers Affected by Ongoing COVID19 Pandemic
The President issued an emergency declaration to provide relief from tax deadlines for Americans. This postpones federal income tax payments (originally April 15, 2020) to July 15, 2020. The postponed amount for consolidated groups or for each corporation that does not join in filing a consolidated return is $10m, and for individuals is $1m regardless of filing status (joint, single, etc). For more detailed information see the attached document “Treasury Tax delay regulations (002)”

Unemployment Insurance
If a business experiences a temporary or permanent layoff, Labor’s Division of Unemployment Insurance’s Bulk Claim Services can open unemployment insurance claims for all affected employees. Businesses should contact a Claims Representative by emailing

dluibulkclaims-dllr@maryland.gov or calling (410) 767-3252.

Maryland Business Express
Maryland’s State website/portal has daily updates regarding businesses in Maryland. Governor Hogan has submitted an application for SBA assistance, which was approved for all Maryland counties for emergency SBA assistance. This is an extremely useful one-stop shop for all SBA funding-related information (including Employer and Worker Assistance), etc. which will likely be updated by the time you read this email. A link to Wednesday’s informational seminar can be found on this page. Find the portal here: https://businessexpress.maryland.gov/coronavirus 

SBA Express Loans and Coronavirus: Financial Update
The entire state of Maryland has received designation for SBA assistance. Economic Injury Disaster Loans are given in amounts up to $2m with interest rates set at 3.75% currently. The approval process takes 14-21 days, with a 5 day wait time for funds to be dispersed. There is current legislation to increase SBA funding (outside of the disaster fund) in SBA 7(a) loans and SBA 7 (a) Express Loans. Borrowers may also be able to apply for SBA Express Bridge Loan Pilot Program that allows the SBA to give loans up to $25k for small businesses in designated disaster areas.

Please see the attached document “Step-By-Step Guide – SBA EIDL Application Process” for more detailed information on how to apply.

Find more information and links to all the appropriate loan programs here: https://www.sbaexpress.loans/blog/coronavirus-and-sba-express-loans-update

For more detailed information on the SBA express loans, visit: https://www.fundera.com/business-loans/guides/sba-express-loan 

For more information about SBA loans and preparing to apply for them, please see the attachments titled “Demystifying the SBA” and “Preparing for an SBA Loan”

FDIC Regulatory Relief
The FDIC is working with financial institutions to take steps to assist customers and communities affected by COVID-19. Any financial institution’s efforts to modify terms on existing loans for affected customers will not be subject to examiner criticism. They will work with them to reduce the burden that will result from this, the challenges in regulatory reporting resulting from this, and will act expeditiously if institutions need to temporarily close. More frequently updated, detailed information for consumers can be found on the FDIC’s COVID-19 webpage here: https://www.fdic.gov/coronavirus/index.html