What is the SBA 10K Advance and Paycheck Protection Program? How can they help you?

epidemic face mask

What is the SBA 10K Advance and Paycheck Protection Program? How can they help you?

Spas and Salons are among the businesses affected by the COVID-19 virus.

We have conducted a fair amount of research on the government programs meant to relieve financial stress and burden small businesses are incurring. To wit:

Economic Injury Disaster Loans and 10k Loan Advance

The SBA (Small Business Administration) has an emergency advance outside of the regular Emergency Injury Disaster Loans (EIDL). Every small business should apply for this as soon as possible. It is essentially a 10 thousand dollar grant to give small businesses some capital for a short period of time for expenses that have been affected by COVID-19. This advance is separate from the regular SBA loans. The $10,000 dollars does not have to be repaid. It may be used to keep employees on payroll, to pay for sick leave, meet increased production costs due to supply chain disruptions, or pay business obligations, including debts, rent and mortgage payments.

Who is eligible for the grant program:

Those who have been in operation since January 31, 2020, when the public health crisis was announced.

You can apply at:


Paycheck Protection Program (PPP) Loans:

This is a 100 percent federally guaranteed loan that will provide small businesses with the cash flow they need to take care of their workforce during this process. This applies to any business that employs not more than 500 employees. If employers maintain their payroll, the loans will be forgiven. This helps workers remain employed, the small businesses remain in business, and in turn will help our economy snap back after this crisis. Small businesses and other eligible individuals will be able to apply if they have been directly affected by COVID-19 between February 15, 2020 and June 30, 2020. This program is being backdated upon approval to February 15, 2020 in order to get workers who may have been previously laid off due to the crisis back onto the payrolls. The loans will only be available through June 30, 2020.

Features of the PPP Loans:
  • Forgiveness of the loan for up to 8 weeks of payroll, based on employee retention and salary levels, as long as the loan is used as it’s intended.
  • Program is supposed to launch on or before April 03,2020
  • No SBA fees
  • At least six months of deferral with maximum deferrals of up to a year
How to apply:

For application information please refer to your local bank or private lending institution. The department of Treasury is working on opportunities for more than the currently approved SBA lenders to offer this loan as well.

For more information please visit the SBA website at:


Other important information:

Can you get an EIDL and/or an Emergency Economic Injury Grant and a PPP loan?

You may apply for both of these in conjunction with each other. The only caveat is that you cannot use your EIDL for the same purpose as your PPP loan. For example, if you use your EIDL to cover payroll for certain workers in April, you cannot use PPP for payroll for those same workers in April, although you could use it for payroll in March or for different workers in April.

For more information about the EIDL please visit: