SBA Low Interest Loans for Small Businesses Affected by the Coronavirus
To our Clients, Friends and Followers:
If your small business is or has already suffered substantial economic injury due to the Coronavirus, you may be eligible for a Small Business Administration (“SBA”) Economic Injury Disaster Loan (“EIDL”).
On Friday March 6, 2020, President Trump signed House of Representatives (“H.R.”) Bill 6074 which designated $20 million to the SBA for administrative expenses to carry out the SBA’s Disaster Loan Program. H.R. 6074 declared the Coronavirus to be a disaster for purposes of the Small Business Act. Therefore, small businesses may now apply for “Disaster Loan Assistance” through the SBA website.
An EIDL can provide up to $2 million to meet financial obligations and operating expenses that would have been met had it not been for the disaster.
The interest on the EIDL rate will not exceed 4 percent per year and the term can be up to 30 years. Please note that EIDLs are only available to small businesses which the SBA determines were not able to obtain credit from another loan provider.
In order to qualify for the EIDL, your business must have suffered substantial economic injury, which is defined as the inability of the business to meet its obligations and pay for its ordinary and necessary operating expenses. Your business must also be located in a designated state or territory. The SBA has not designated Florida as a disaster area yet. We will keep monitoring the situation and keep you updated. Contact us at 305-222-7282 if we can offer any assistance.
Also, tune into 880 The Biz Radio News on Monday, March 16, at 5pm EST. Lillian Ser will be a guest speaker on the Forum Biz Talk where she will discuss the legal aspects small businesses need to consider during the Coronavirus crisis. Listen in on https://880thebiz.com/