As small business owners ourselves, we share in the anxiety of millions of other business owners struggling to stay afloat during these unprecedented times. The good news: there is relief available and it may be accessible to you much sooner than you think.
The SBA is offering Economic Injury Disaster Loans (EIDL) of up to $2 million and immediate relief in the form of EIDL loan advances of up to $10,000. See below for our breakdown of financial resources currently available.
EIDL disaster assistance is available to small businesses operating in all U.S. states and territories. Generally, a business employing 500 employees or less will qualify, but check the SBA’s size standards to determine whether your business meets their definition of “small.”
Small businesses may borrow up to $2 million with an interest rate of 3.75 percent for small businesses and 2.75 percent for non-profits.
• Qualifying costs: fixed debt, payroll, accounts payable and other bills that can’t be paid due to the outbreak.
• Term: determined on a case-by-case basis and based on the borrower’s repayment ability, with of maximum term length of 30 years.
Economic Injury Disaster Advance Loan
Small business owners may apply for a loan advance of up to $10,000. Funds will be made available within three days of a successful application. Even if your EIDL application is denied, this loan advance will not have to be repaid.
To access the advance, small businesses must first apply for the EIDL here.
To expedite the application process, small businesses should have their accounting up to date before applying for an EIDL loan.
We’re here to help you navigate your business through these troubling times, so please don’t hesitate to reach out to us with any questions or concerns.