Is your business being affected by COVID-19? Are you eligible for the Small Business Association’s (SBA) Economic Injury Disaster Loan-EIDL?
If you’re a small business in the U.S, you may be eligible for an SBA disaster loan. That is, the Economic Injury Disaster Loan-EIDL.
That’s right! In the midst of the Coronavirus (COVID-19) pandemic, the U.S SBA is offering the EIDL to help you stay on your feet.
The SBA announced that the Economic Injury Disaster Loan will be available statewide to small businesses and private, non-profit organizations to help alleviate economic injury caused by the Coronavirus (COVID-19). This will apply to current and future disaster assistance declarations related to Coronavirus.
The SBA stated that the Economic Injury Disaster Loan offers up to $2 million in assistance and can provide vital economic support to small businesses. This, they say, should help to overcome the temporary loss of revenue small businesses are experiencing.
The Economic Injury Disaster Loan-EIDL
According to the Administrator at the Small Business Association, Jovita Carranza.
“Small businesses, private non-profit organizations of any size, small agricultural cooperatives and small aquaculture enterprises that have been financially impacted as a direct result of the Coronavirus (COVID-19) since Jan. 31, 2020, may qualify for Economic Injury Disaster Loans of up to $2 million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred.”
“These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. Disaster loans can provide vital economic assistance to small businesses to help overcome the temporary loss of revenue they are experiencing.”
As a small business, you can benefit from an interest rate as low as 3.75 percent. If you’re a private charity, the interest rate is even much lower. Private non-profit organizations will pay an interest rate of 2.75 percent. The SBA loan offers a long term repayment period that can go up to 30 years.
If you’re unable to offset your finances without hardship, the Economic Injury Disaster Loan is definitely for you.
Small businesses are the cornerstone of the nation. And, we know that many of you are feeling the negative impact of the Coronavirus. From a financial standpoint, this is why we recommend that you consider applying for the EIDL for small businesses.
Don’t worry, we know how tedious and time consuming the process can be. We got you! We’ve gone ahead and prepared a checklist of all you’ll need to know/have when applying for the Economic Injury Disaster Loan-EIDL.
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