***UPDATE*** On April 6th, 2020, the Maryland Department of Commerce stopped accepting new applications for COVID-19 Relief Grant and Loan Programs. Please be advised that all applications that have been submitted are currently being reviewed in the order received. We will update you when applications will be accepted once again.
Maryland has authorized significant resources to loan and grant funding for small businesses (50 or less full/part-time employees) and manufacturers negatively impacted by the coronavirus. This emergency assistance provides interim relief and proceeds that can be used to pay cash operating expenses including payroll, suppliers, rent, fixed debt payments and other mission critical cash operating costs.
Maryland Small Business COVID-19 Emergency Relief Loan Fund
- $75 million loan fund available to for-profit businesses offering no interest or principal payments due for the first 12 months, then converts to a 36-month term loan of principal and interest payments, with an interest rate at 2% per annum. To learn more, visit the Emergency Relief Loan Fund
Maryland Small Business COVID-19 Emergency Relief Grant Fund
- $50 million grant program available to businesses and nonprofits offering grant amounts up to $10,000, not to exceed 3 months of demonstrated cash operating expenses for the first quarter of 2020. To learn more, visit the Emergency Relief Grant Fund
Maryland COVID-19 Emergency Relief Manufacturing Fund
- $5 million incentive program helps Maryland manufacturers to produce personal protective equipment (PPE) urgently needed by hospitals and health-care workers across the country. To learn more, visit the Emergency Relief Manufacturing Fund More details are expected to be announced by Friday, March 27, 2020.
Maryland COVID-19 Layoff Aversion Fund
- The Fund is designed to support businesses undergoing economic stresses due to the pandemic by preventing or minimizing the duration of unemployment resulting in layoffs. The award (up to $50,000 per applicant), will be a quickly deployable benefit and customizable to the specific needs of your business to minimize the need for layoffs. To learn more, visit the new COVID-19 Layoff Aversion Fund
We hope this summary will point you in the right direction. For most of you, this process is only the beginning. But we are committed to providing you with the information and resources you need to make informed decisions for you and the future of your organization. As always, we strongly encourage you to talk to your accountant, financial advisor, insurance agents and legal counsel to decide what’s right for you. We will continue to update this article with new information as it becomes available.
Please do not hesitate to contact us with any questions. Stay safe and healthy!