By SEMA Washington, D.C., Staff
The U.S. Small Business Administration (SBA) will be accepting applications for the Economic Injury Disaster Loan (EIDL) program for businesses adversely impacted by COVID-19. The U.S. Congress approved, and President Trump signed into law a stimulus package that provides another $20 billion for the EIDL program and extends the program through December 31, 2021 (subject to availability of funds).
The SBA issued 3.6 million EIDL loans totaling $197 billion to provide working capital and to cover normal operating expenses in 2020. The loans are available to small businesses, non-profits, sole proprietors and independent contractors. The loans have a 3.75% interest rate for small businesses and 2.75% interest rate for nonprofit organizations, a 30-year maturity, and an automatic deferment of one year before monthly payments begin. Please note, the EIDL Advance program is no longer available—a forgivable grant program that provided $1,000/employee, up to $10,000.
For more information, visit the SBA website.