In this Must Know…
- PPP Fixes to Boost Support for BIPOC-Owned Businesses
- Governor Signs New Relief Package with $2 Billion for Small Biz
- The Inclusivity Project
- Join Microlending Essentials Online from March 22-26, 2021
- CAMEO is hiring an Outreach Specialist/Manager
- This week’s Goodie highlight is a number of training webinars on the Paycheck Protection Program.
PPP Fixes to Boost Support for BIPOC-Owned Businesses
The Biden administration has announced a set of reforms to the Paycheck Protection Program. These changes are intended to expand access to the program for the most disadvantaged business owners – many of whom are people of color in low-to-moderate income communities – and to remove structural inequities that were established in previous iterations of the program.
According to the new rules, the Paycheck Protection Program will:
- Offer a 14-day period, starting February 24, during which only small businesses with fewer than 20 employees will be able to apply for a loan.
- Amend the PPP loan calculation formula for sole-proprietors, independent contractors and self-employed applicants, and set aside $1 billion for this category.
- Expand eligibility to small business owners who have non-fraud felony convictions and those with federal student loan delinquencies.
- Allow lawful U.S. residents to apply for a loan with their ITINs.
CAMEO’s been advocating along with our colleagues across the nation for many of these changes.
Governor Signs New Relief Package
Governor Gavin Newsom signed a $7.6 billion coronavirus relief package on Tuesday, which includes more than $2 billion in grants for struggling small businesses. Yes, that’s ‘b’ for billion, and not a typo.
Under the new package, businesses with annual revenues between $1,000 and $2.5 million are eligible to apply for the money, with a priority given to businesses owned by women and minorities and businesses in areas with high unemployment rates.
The Legislature is set to approve more aid next week, including a bill to let businesses deduct more than $150,000 from their taxes.
The Inclusivity Project
We know a lot of you have some really cool projects that aim to help minority-owned businesses. Let us know what they are! One that crossed our path this week was the Inclusivity Project – led by the NorCal SBDC. The goals of the project are:
- Sign up 1,000 new Black entrepreneurs to receive free business advice and counseling.
- Start 100 new Black-owned businesses.
- Fund $100 million in small business financing.
Even though it’s a NorCal-based project, Black business owners throughout California should inquire about the services.
For Your Clients
- eBay and CalOSBA’s Up & Running program offers free e-commerce training for small businesses in California. Applications are open until March 11, 2021.
- Heidi Pickman participates in Small Business Majority’s 30-minute policy briefing TOMORROW, February 26, at 11:00am PST.
- The CDFI Fund opened the FY 2021 funding round for the CDFI Program and the Native American CDFI Assistance Program (NACA Program)last week.
- SEED grants will support the entrepreneurship of immigrants and limited English speakers through Community Based Organizations. Proposals are due March 3, 2021.
- Industry News: Small Business Committee voted to approve the nomination of Isabella Guzman to be SBA Administrator, 15-0. Next stop is the full Senate.
- Jobs: Los Angeles Food Policy Council, Renaissance, and the Lawyer’s Committee for Civil Rights announced new jobs recently. See who else is hiring!