Drivers Could be Qualified to receive Home business Assistance

Very important Mention: 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.

In this challenging date, Lyft motorists enjoy a life threatening role, hooking up visitors to important functions and items-including healthcare, as well as drug. We deeply appreciate your own benefits toward teams, and have now remember that making money tends to be difficult right now.

Small enterprises, as well as separate designers and you will self-employed individuals, meet the requirements to apply for an economic Burns off Disaster Loan progress all the way to $ten,one hundred thousand

Within the CARES Work, the small Organization Management (SBA) composed the fresh new programs to support smaller businesses, including people that are care about-working, only holders otherwise independent designers. Of several drivers towards the Lyft platform was self-functioning otherwise own their particular team and may be eligible.

These types of SBA apps is actually the new nevertheless inside advancement, so there is a lot do not realize about how the software are working and you may information ents, and certainly will still share condition centered on our very own understanding of the latest applications. Financing was restricted, therefore we was promising people that desires to connect with get it done as fast as possible.

There have been two apps readily available which could offer cash offers and you can forgivable loans so you’re able to qualified people. Read on to get more facts, and you can including pick information from You Chamber regarding Business and you will Business Administration.

Economic Injury Crisis Loan Crisis Improve: 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.

Keep in mind that not absolutely all financial institutions / borrowing from the bank unions are participating

Simply how much will i located? 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 to 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 can i discovered fee? 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.

Salary Defense System: 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’s this option? 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 can i incorporate? 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 do i need to incorporate? 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 do i have 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 pick addiitional information? You can find more information about the Paycheck Protection Program at the following links: