Economic Injury Disaster Loans and Loan Advance
In response to the COVID-19 pandemic, most small business owners and private non-profits are eligible to apply for an Economic Injury Disaster Loan from the Small Business Administration (SBA).
While loan amounts may range up to $2 million, specific loans depend upon the amount of economic injury that a business has suffered. This amount is determined by the SBA on a case-by-case basis after businesses apply. Loan advances of $10,000 may also be available to qualified businesses.
Interest rates on EIDLs can be as high as 3.75% for companies and 2.75% for nonprofits. Principal and interest payments of EIDLs can be deferred for up to one year. Typically, EIDLs are available to businesses and private nonprofits.
The loan advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application, and this loan advance will not have to be repaid.
Small business owners can apply for the SBA’s Economic Injury Disaster Loan program directly with the SBA by clicking here.
Reach out to one of our experienced business bankers with any questions or if we may be of assistance.