Meriden Delegation Hosts Virtual Small Business Discussion

Press release from CGA:

March 17, 2021

The Meriden Delegation, which is comprised of state Senator Mary Daugherty Abrams (D-Meriden, Middlefield, Rockfall, Middletown, Cheshire) and state Representatives Catherine Abercrombie (D- Meriden, Berlin, Kensington), Hilda E. Santiago (D-Meriden) and Michael D. Quinn (D-Meriden, Middlefield, Rockfall), were joined by representatives from the Midstate Chamber of Commerce and the Small Business Administration (SBA) for a virtual small business discussion. The virtual event enabled small business owners in the district to discuss questions or concerns regarding SBA loans, loan contracts and other forms of assistance to small businesses.

"I am pleased we were able to bring small business owners together to discuss the ways in which the SBA loan process can be made better for all those that rely on this important form of assistance," said Sen. Daugherty Abrams. "Small business is the cornerstone of Connecticut's economy and an integral part of our state's economic recovery from the COVID-19 pandemic. Enabling these business owners to easily access these loans, in addition to an uptick in consumption as more residents get vaccinated and shops safely reopen, will bolster our state's economic recovery and assist us in returning to normalcy."

"The COVID-19 pandemic has had a big economic impact on all small businesses across the state and around the world," said Rep. Abercrombie. "A year ago, when we first heard about COVID, I don’t think that anyone knew how serious this was going to be. As we look toward a brighter future, thanks to the vaccination plan and the declining numbers in cases, I am encouraged by state and federal programs in place to help small businesses stay open and recover."

"I have heard from our small businesses about the challenges they have faced during this unprecedented time as they learn to cope with the effect of the pandemic in order to keep their doors open," said Rep. Santiago. While full recovery is still difficult to predict, I know our state agencies are working with our federal partners to ensure small businesses have access to existing resources and that they get all the support available to them while we work together through this difficult time."

"While the economy is still uncertain and the small business landscape has been altered in ways that we never imagined due to the length of this crisis, I have seen the resilience of our entrepreneurs in finding new ways to stay relevant during this challenging economic time," said Rep. Quinn. "One of the main concerns has been maintaining the safety and health of employees while business owners faced the risk of layoffs and closure due to reductions in demand. I am optimistic that our state and businesses will come out of this period much stronger."

The Meriden Delegation was joined by U.S. SBA Connecticut District Manager Catherine Marx, Connecticut SBA Senior Area Manager Frank Alvarado and Midstate Chamber of Commerce Chamber President Rosanne P. Ford. Throughout the pandemic, the SBA has been vital for small businesses navigating the challenges brought on by COVID-19. The SBA is administering vital economic aid programs that are providing a lifeline to small businesses and their employees. Thursday’s event highlighted additional changes previously announced that will increase access to the forgivable loans, including allowing sole proprietors, independent contractors, and self-employed individuals to receive more financial support by revising the funding formula.

Ms. Ford said, “We thank the Meriden delegation for their accessibility and for their leadership, especially this past year during the pandemic. The Midstate Chamber of Commerce is always ready to connect our elected officials with our members, businesses and non-profit organizations in the region so that our officials can hear first-hand from their constituents. Our longstanding partnership with the SBA historically has focused on education for small businesses, start-ups and those considering opening a business. We continue that programming and are glad to share this valuable information that SBA has to share. SBA has provided a historic level of funding through grants and loans throughout the pandemic that have been a safety net for many businesses. These forums are critical as a means of staying informed as we move through the pandemic.”

“Since the Paycheck Protection Program (PPP) relaunch in January 2021, data as of March 7th indicates that over 27,000 PPP loans have been approved in Connecticut, totaling $2.2 billion,’ said Marx. ‘We encourage sole proprietors, independent contractors, or the self-employed to learn how PPP works and how they may qualify for more funds under new formula changes for IRS Form 1040, Schedule C filers. Many of the smallest businesses have not yet applied for the forgivable loan program which can provide critical assistance to small business owners with the capital they need to survive the pandemic.”

The SBA has offered several relief options for businesses, nonprofits and faith-based organizations, such as COVID-19 Economic Injury Disaster Loans (EIDL), Express Bridge Loans and SBA debt relief for existing borrowers. Also, for small businesses with less than 20 employees and sole proprietors, the SBA offered Paycheck Protection Program loans from February 24 to March 9. According to U.S. SBA Acting Administrator Tami Perriello, the SBA has provided "more than 3.7 million small businesses employing more than 20 million people with $200 billion through the unprecedented COVID-19 EIDL loan program."

The SBA works with lenders to assist in providing loans to small businesses, setting guidelines for loans made by its partnering lenders, community development organizations and micro-lending institutions, according to the SBA website. The SBA does not lend money directly to small business owners. Per the SBA's website, "the SBA is the only cabinet-level federal agency fully dedicated to small business and provides counseling, capital, and contracting expertise as the nation’s only go-to resource and voice for small businesses."

This press release was produced by CGA. The views expressed here are the author's own.