Shasta Cascade SBDCRedding California


This page will be updated regularly as more information comes through.

Latest Updates: Monday, 4/3/2020, 10:00am

*Shasta-Cascade SBDC is here -- we are answering phone and email; producing webinars; and meeting with clients via phone or Zoom.​


PPP (Paycheck Protection Program)applications are submitted to local institutions (try the bank you're doing business with first)

  • INTEREST RATE – 1.0%
  • TERM – Two (2) years
  • MAXIMUM LOAN AMOUNT - $10,000,000
  • PAYMENTS – Deferred for (six) months. (Interest continues to accrue.)
  • COLLATERAL - No collateral or personal guarantees required
  • FORMS NEEDED BY BORROWER – 1. SBA Form 2483 (PPP Application); 2. Payroll documentation (These can be payroll processor records, payroll tax filings, or Form 1099MISC, or income and expenses from a sole proprietorship.)
  • 75% RULE: At least 75 percent of the PPP loan proceeds shall be used for payroll costs. For purposes of determining the percentage of use of proceeds for payroll costs, the amount of any EIDL refinanced will be included.  For purposes of loan forgiveness, however, the borrower will have to document the proceeds used for payroll costs in order to determine the amount of forgiveness.
  • LOAN FORGIVENESS: The amount of loan forgiveness can be up to the full principal amount of the loan and any accrued interest. The borrower will not be responsible for any loan payment if the borrower uses all of the loan proceeds for “forgivable” purposes and employee and compensation levels are maintained. The actual amount of loan forgiveness will depend, in part, on the total amount of payroll costs, 


Change to the Disaster loan application on the SBA website

Addition of the $10k advance with the EIDL program (Economic Injury Disaster Loan) - same application 

  • Things keep changing as these processes are put in place . . . 
  • If you apply for an EIDL loan, you can ask for and receive up to $10K in advance.  
  • If you applied before this week (i.e. were not asked if you wanted the $10k advance) and you do want the $10k advancement. You should go ahead and reapply on the new streamlined application here. *You will not lose your place in the que*
  • If your loan is approved, the advance amount must be paid back as part of the loan (again, this may change but this is the information we currently have).  
  • If the loan is NOT approved, it sounds like the advance does not need to be paid back (clarification on this may change).


Economic Injury Disaster Loans (EIDLs) – Working capital loans to help small businesses, small agricultural cooperatives, small businesses engaged in aquaculture, and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period.

Credit Requirements:

  • Repayment – Applicants must show the ability to repay the loan.
  • Collateral – Collateral is required for all EIDL loans over $25,000. SBA takes real estate as collateral when it is available. SBA will not decline a loan for lack of collateral, but SBA will require the borrower to pledge collateral that is available.
  • 3.75% interest rate for for-profit small businesses
  • Terms up to 30 years
  • Initial payment deferrals
  • No points, no fees
  • Business owners (20%+) may need to personally guarantee loans
  • Credit scores and history are considered on a case-by-case basis

Make sure you have your financial statements in order. With an up to date P&L and Balance sheet from at least 2019 AND the current year to date for 2020.

No cost to apply; will not impact your credit score to apply; if you get rejected call the SBDC (we might can help your case).

Economic Injury Disaster Advance Loans -- In response to the Coronavirus (COVID-19) pandemic, small business owners in all U.S. states, Washington D.C., and territories are eligible to apply for an Economic Injury Disaster Loan advance of up to $10,000.

This advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application. 

Information about these programs can be found here:

If you have any questions about this process, contact us: (530) 222-8323 or 

The process continues to be fluid; there have been many changes and updates in the past several days.  We are working to keep up-to-date information on our website at:


Unfortunately, scams are growing; our advice is to NOT pay for any service that offers to help you with your application.  We are funded by the SBA and the State of California to help you at no cost.



  • urge employees who don't feel well to stay home
  • revise sick leave policies to address this current unique situation
  • use technology (Zoom, Go To Meeting . . . even the telephone) for meetings whenever possible
  • "ditch the handshake" 

This is a terrific article, effectively illustrating the concept of social distancing:

 Update 3/23/20

As of Friday 3/13/20

  • The Shasta-Cascade SBDC will be announcing some changes soon but will continue to help entrepreneurs and small businesses during this difficult period.
  • The Shasta County Health and Human Services website suggests calling 211 for Frequently Asked Questions about coronavirus, or texting the word "coronavirus" to 211-211. 
  • The California EDD has announced that employers statewide directly affected by the new coronavirus (COVID-19) may request up to a 60-day extension of time from the EDD to file their state payroll reports and/or deposit payroll taxes without penalty or interest. 
  • Small Business Administration to Provide Small Businesses Impacted by Coronavirus (COVID-19) Up to $2 Million in Disaster Assistance Loans. At this time (March 13, 3pm), the information we have is that California and the SBA are still in the process of setting this up.  Once in place, small businesses may be able to apply and the SBDC can help with applications.  
  • The Flatten the Curve blog is a general resource being constantly updated by a public health professional. [Note: neither the Shasta Cascade SBDC nor any of its partners/funders endorses or influences this content. It's posted here for informational purposes only.]
  • Shasta County's Health and Human Services Agency virus information: 
  • At this writing (3/15/2020) there are no reported cases of coronavirus in Trinity County.  The Trinity County Public Health website can be found here: 


Financial Help

Access to capital programs remain in place, including special disaster assistance at the state and federal levels.


As concerns continue about coronavirus (COVID-19), we’re here to help you navigate available resources, answer your business questions and be a trusted partner for your business
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Funded in part through a cooperative agreement with the U.S. Small Business Administration. All opinions, conclusions or recommendations expressed are those of the author(s) and do not necessarily reflect the views of the SBA or HSU Sponsored Programs Foundation.