To further meet the needs of small businesses and non-profits, the Small Business Administration has reopened the Economic Injury Disaster Loan (EIDL) and EIDL Advance program portal to all eligible applicants still experiencing economic impacts due to COVID-19.
SBA’s EIDL program offers long-term, low interest assistance for small businesses or nonprofit organizations. These loans can provide vital economic support to help alleviate temporary loss of revenue. EIDL assistance can be used to cover payroll and inventory, pay debt or fund other expenses that are not already covered by a Paycheck Protection Program loan. The interest rate is 3.75% for small businesses. The interest rate for nonprofits is 2.75%. To keep payments affordable for small businesses, SBA offers loans with long repayment terms, up to 30 years. Plus, the first payment is deferred for one year. Additionally, the EIDL Advance will provide up to $10,000 ($1,000 per employee) of emergency economic relief to businesses that are currently experiencing temporary difficulties, and these emergency grants do not have to be repaid. The EIDL program will remain open until the funds are depleted or until Dec. 30, 2020.
More information and applications are at the SBA disaster assistance website at SBA.gov/Disaster.
The SBA is also assisting small businesses and nonprofits with access to the federal forgivable loan program, the Paycheck Protection Program, which is accepting applications until June 30, 2020.