An outline of the main options and programs for Freelancers, Solopreneurs, and 1099 Contractors who are in need of COVID-19 relief funds:
Paycheck Protection Program Loan
SUMMARY: Loan for Payroll and other overhead expenses such as rent for employers and sole proprietors with fewer than 500 employees. All or most of the loan amounts will be forgiven if proceeds are used for payroll cost, rent, interest, or utility costs and employee compensation levels are maintained and no employees are laid off.
When can I apply?
April 3 for Corp (1120 & 1120S) and Partnership (1065) Filers
April 10 for Independent Contractors (Sch C of 1040) Filers
You Must Apply before June 30, 2020
Where can I apply?
ANY FDIC lender i.e. Banks or Credit Unions
ANY Existing SBA lender visit www.sba.gov for a list of SBA lenders
SUMMARY: This loan advance will provide up to $10,000 of economic relief to business that are currently experiencing temporary difficulties. This loan advance will be made available within days of being applied for and will not have to be repaid
When can I apply?
April 1, 2019 for all business which includes Corporations, Partnerships, and Sole Proprietors/Self Employed Persons
Pandemic Unemployment Insurance Assistance program
SUMMARY: Freelancers and Solopreneurs (schedule C and 1120S) filers can now apply for unemployment insurance with their state unemployment agency. This benefit will provide and $600 per for up to 16 weeks. In order to qualify, you must prove that the coronavirus pandemic has made it impossible to earn a living with your freelancing / 1099 Contractor income.
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