EIDL Loan Advance
There are currently two types of loans available: Economic Injury Disaster Loans (EIDL) and Paycheck Protection Loans (PPP). See the differences above. We have discussed the Paycheck Protection Loan in great detail last week. If you missed those newsletters,
Here is the breakdown on the second loan, Economic Injury Disaster Loans (EIDL)
In response to the Coronavirus (COVID-19) pandemic, small business owners in all U.S. states, Washington D.C., and territories are eligible to apply for an Economic Injury Disaster Loan
advance of up to $10,000
. This advance will provide economic relief to businesses that are currently experiencing a temporary loss of revenue. Funds will be made available following a successful application.
This loan advance will not have to be repaid.
The requirements for the application have also been scaled down and no additional documentation such as tax returns or personal financial statements are required when submitting the application. The SBA claims you will receive this grant within three days of the application filing, whether or not you ultimately qualify for a loan.
This program is for any small business with less than 500 employees (including sole proprietorships, independent contractors and self-employed persons), private non-profit organization or 501(c)(19) veterans organizations affected by COVID-19.
Businesses in certain industries may have more than 500 employees if they meet the
SBA’s size standards
for those industries.
The Economic Injury Disaster Loan advance funds will be made available within days of a successful application.
The process should be quick because lending decisions are based on self-certification and personal credit score. Also, the requirement that you be unable to obtain credit elsewhere has been waived. Therefore, you can apply even if you already have a credit line.
Registration online is already open! To apply for a COVID-19 Economic Injury Disaster Loan and loan advance,
Don't waste time-apply now!