State of Delaware Hospitality Emergency Loan Program (HELP)
We wanted to provide our clients guidance on a loan program offered by the State of Delaware to assist with the financial hardships created by the COVID-19 pandemic. Governor John Carney announced Hospitality Emergency Loan Program or HELP to provide financial relief for restaurants, bars and other hospitality industry businesses.
Here’s what you need to know:
- Loans up to $10,000 per applicant.
- Annual revenue must be less than $1.5 million.
- Businesses must have been in operation for at least a year
- 0% loans, with a 10-year term with payments deferred for nine months.
- Eligible uses are to fund rent, utilities and other unavoidable bills, but cannot be used for personnel costs.
- Eligible expenses being submitted for funding must have been paid on time for 80% of payments over the last 12 months and cannot be past due on the most current bill.
- Applicants for HELP loans must be operating in one of the targeted sectors as identified by the following NAICS codes:
- 7225 Restaurants and Other Eating Places
- 7224 Drinking Places (Alcoholic Beverages)
- 7223 Special Food Services
- 7211 Traveler Accommodations
- 7139 Other Amusement and Recreation
- 7131 Amusement Parks & Arcades
- 7121 Museums and Historical Sites
- 7113 Promoters of Performing Arts
- 7112 Spectator Sports
- 7111 Performing Arts Companies
- 4879 Scenic and Sightseeing Transportation, Other
- 4872 Scenic and Sightseeing Transportation, Water
- 4871 Scenic and Sightseeing Transportation, Land
- 3121 Beverage Manufacturing
- 3118 Bakeries and Tortilla Manufacturing
Notable Federal Programs
- Economic Injury Disaster Loan Program: Now available to small business owners in all 50 U.S. states and territories to apply for a low-interest loan.
- Lender Match is a free online referral tool that connects small businesses with participating SBA-approved lenders.
- 90 Day extension to July 15, 2020 to file and pay returns due April 15, 2020.