The U.S. Small Business Administration has reopened the Economic Injury Disaster Loan (EIDL) and EIDL Advance program portal to small businesses and non-profits experiencing economic hardship due to COVID-19.
The loans can be used to pay debts, payroll, accounts payable and other bills that can’t be paid because of economic disruption due to COVID-19, and that are not already covered by a Paycheck Protection Program (PPP) loan. The EIDL interest rate is 3.75% for small businesses and 2.75% for non-profits. In addition, the SBA is offering loans with long repayment terms, up to a maximum of 30 years. The first payment is deferred for one year.
The EIDL Advance will provide up to $10,000 ($1,000 per employee) of emergency economic relief to businesses that are currently experiencing a temporary loss of revenue. These emergency grants do not have to be repaid and small businesses may receive an advance even if they are not approved for a loan.
For additional information, visit the SBA disaster assistance website at SBA.gov/Disaster.
Please contact REDW Principals James Ortiz or Christina Roderick to discuss any concerns you may have regarding your EIDL loan or grant. For the latest developments and ways in which we can help your business, please visit REDW’s COVID-19 Resource Hub.
REDW is committed to keeping you informed at all times, but especially during a crisis of the magnitude of the COVID-19 pandemic. Stay connected with us on LinkedIn and @REDWLLC. Or check out some of our other updates here.
