Bolingbrook Chamber shares updates from state commerce department

The Bolingbrook Area Chamber of Commerce is pleased to share the latest updates from the Illinois Department of Commerce & Economic Opportunity (IDC).

The IDC recently provided area chambers of commerce with the current federal aid options available to Illinois businesses.

• Paycheck Protection Program – The U.S. Small Business Administration (SBA) will provide $349 billion in loans through the Paycheck Protection Program to small businesses and non-profits. Portions of these loans will be forgiven to the extent that recipients maintain their existing workforce or rehire. Loans can be up to $10 million and interest rates are maxed at 4 percent for portions of the loan that do not qualify for loan forgiveness. Learn more here.

• Economic Injury Disaster Loan – The program provides small businesses with working capital loans of up to $2 million that can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing. Borrowers can request an emergency advance of $10,000 within 3 days of submitting the application and do not have to repay the advance if they are denied a loan. Learn more here.

• Subsidy for Current Loan Payments – The SBA will cover up to 6 months of principal and interest payments that are owed on most existing SBA loans. Learn more here.

• Training and Advising for Existing Businesses – Additional funds are provided to SBDCs, Women’s Business Centers, and Minority Business Centers for education, training and advising to small businesses. Small businesses can take advantage of this now.

• Aid to Midsize Businesses and Nonprofits – $454 billion will be available from the U.S. Treasury to provide financial assistance through loan programs established by the Federal Reserve. As part of that, a special fund is dedicated to midsize businesses and nonprofits with 500-10,000 employees to provide financing to banks and other lenders to make direct loans to these entities. The interest rate on those loans would be capped at 2 percent, with no payments due for the first six months. These loans cannot be forgiven. Significant restrictions will be placed on the midsize business and nonprofit assistance, such as prohibiting paying out dividends while the loan is outstanding. More guidance will be forthcoming from the U.S. Treasury on additional criteria and funding access.

As previously announced, there are additional small business grants and loans available including the Hospitality Emergency Grant (applications due April 1), Illinois Small Business Emergency Loan Fund and Downstate Small Business Stabilization Program. Learn more here.

The BACC will continue to share as the IDC updates on any additional information it receives from the federal government, which is forthcoming on a daily basis.

If you have any questions, please call the Chamber office, 630-226-8420.