California Help for Small Businesses, Workers, and Nonprofits
Individuals and businesses are reeling from the effects of the coronavirus crisis. Many in the United States are wondering how much and what types of relief are being offered at the federal, state, and city level. Several measures have been enacted in the state of California to help small businesses, workers and nonprofits during this time of significant hardship. Federal relief is also offered, but this article focuses specifically on help from the state of California and its cities. Acting quickly is of the utmost importance because most assistance programs have time limits or caps on the amount of money they are able to provide. Below are some programs that offer help for small businesses, workers and nonprofits in the state of California.
Loan Guarantees to Small Businesses
On April 2, 2020, California Governor Gavin Newsom announced $50 million in loan guarantees to small businesses within the state that might not qualify for federal relief. This money is being allocated through the California Infrastructure and Economic Development Bank in the form of loan guarantees. The state is also letting small businesses defer paying sales and use taxes up to the amount of $50,000 for up to a year. The $50,000 loan that California is offering has been described as a “bridge loan” and would not include fines, penalties, or interest. These concessions have been made to assist many businesses which have had to face the prospect of closing their doors, laying off employees, or downsizing in other ways. This loan is only part of $17.8 million in new state initiatives that are being allocated from Workforce Innovation and Opportunity Act funds. $7.8 million will make its way to the Los Angeles region, while an additional $10 million will be distributed elsewhere throughout the state. You can learn more here.
Website to Assist with Employment
Governor Newsom also announced that California has unveiled a website that will help those in need of work during this difficult time. Across the United States, unemployment figures and applications for unemployment insurance benefits are skyrocketing in recent weeks as a result of the COVID-19 crisis. Many workers have questions such as whether they will be able to keep their current job, what they should do if they lose their job, or how to find employment during these difficult times of uncertainty. The state’s website, entitled OnwardCA, helps connect those looking for jobs with employers and up to 70,000 available jobs in fields such as transportation, logistics, agriculture, and the grocery industry. The website works by first offering visitors connections to essential life services such as money, food, and shelter. OnwardCA then connects website visitors with retraining opportunities for future jobs. Finally, the website can connect a job seeker with an appropriate employer. The website also offers a searchable directory of essential life services, retraining programs, and jobs that can be checked based on county or zip code.
Those who own nonprofits may be wondering how the state’s various initiatives and programs apply to their legally distinct business entities. The organization CalNonprofits (California Association of Nonprofits) provides great tools for those with questions about their nonprofit and the coronavirus crisis. In particular, it offers an FAQ regarding nonprofits and the coronavirus. The CalNonprofits website also contains numerous links to resources, advocacy, support, and funding opportunities for which nonprofits are eligible. The National Council of Nonprofits also offers information and resources regarding nonprofits and the COVID-19 crisis on its website. The organization has compiled a page of helpful articles and information that applies directly to nonprofits. Resources include information on what federal relief bills mean for nonprofits, analysis of the government’s CARES act as it pertains to the nonprofit sector, state public policy resources on COVID-19, and a list of relief funds by state for those who are located outside of California.
Help From Cities in California
In addition to California state-led coronavirus relief efforts, many cities are offering resources and information for their communities. Your city’s official website should contain information on its own efforts against the virus. As an example, the city of Pasadena’s official website contains a directory of local restaurants that offer takeout or delivery, guidance for grocers and other businesses, resources on business resilience, and more information. As another example within the Southern California region, the city of Glendale’s official website also offers useful content pertaining to the coronavirus situation including government orders, business resources, and information on financial help in the area. Glendale, along with several other cities, issued an emergency order which implemented a temporary eviction moratorium and rent freeze. Further details on this can be found on their website. To see if a similar program has been put into effect in your city, go to your city’s website to see what kind of information, resources, and programs it is offering. You can also try inquiring about local efforts by calling or emailing your city officials through the contact information listed on their website.
The initiatives and resources discussed in this article are only some of the relief efforts that are available in the state of California. As the pandemic continues to play out, staying abreast of coronavirus relief programs at the federal, state, and city level is important to do so that you stay informed and can take action if and where applicable. More up-to-date information and resources on the state’s coronavirus efforts can always be found at the state’s official COVID-19 Response website. For current info on the federal government’s efforts, they have an official website here.
We’re Here for You
The Law Offices of Scott Glovsky is here for you and would like to help in any way we can. We can advise you about your business or health insurance policies and applicable coverage, and will help address other questions you may have. Please call us at (626) 604-6973.