COVID-19 Information - State Funding Programs

The State of Maryland has launched several programs to assist businesses affected by the coronavirus.

On Monday, 23rd March, Governor Hogan announced that all ‘non-essential’ businesses were to close as of 5PM that day. In recognition for the hardship this has and will continue to cause, he also announced several programs to assist Maryland businesses.

Governor's COVID-19 Resources for MD Businesses

There are three major programs through the State Commerce Dept, one is a grant for working capital of up to $10k, another is a loan for up to $50k, and the third program is for manufacturers. The State expects that businesses will also file for assistance under the SBA’s expanded disaster relief programs.  

Grants, generally speaking, do not have to be repaid, but they do constitute taxable income. Loans, by definition, must be repaid, but the expectation is that loans offered under these programs will have more generous terms than under normal circumstances.

To strengthen your application for state funding, you should first apply through the SBA program. Note that you don’t need to formally accept the SBA loan, but you should still apply.

SBA Federal Disaster Funding Program

See the link below for how to apply for MD’s Dept of Commerce assistance programs

MD Dept of Commerce - Applications for State Funding

Additionally, the MD Dept of Labor has expanded their resources and capacity for employees that have been laid off as a result of the economic disruption. Both employees and employers can find additional information on this link below for additional programs through the MD Dept of Labor. The Dept has funds available to assist employers with minimizing the need for layoffs.

MD Dept of Labor - Unemployment Insurance

Additionally, several large companies have established private funding sources of their own. Our payroll app, Gusto, has published a blog that lists some of these resources. See the links below:

Gusto - COVID19 Resource Page - General Info

Gusto - Funding Resources for Businesses

You’ll need your tax returns and financial statements for these applications. Tax returns are available for you to download from our secure portal, and financial statements can be accessed through Xero. Please email us if you need assistance.


Tech TipsJonathan Rivlin