SBA Economic Injury Disaster Relief LoansThe U.S. Small Business Administration (SBA) has announced that it has made Economic Injury Disaster Relief Loans (EIDLs) of up to $2 million available to qualifying small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19). An EIDL is a working capital loan to help qualifying small businesses meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period.  The interest rate for small businesses is 3.75%, while the interest rate for non-profit organizations is 2.75%.

 

COVID-19 EIDLs - General Overview

 

You can find the SBA requirements for COVID-19 related EIDLs at https://disasterloan.sba.gov/ela/Information/EIDLLoans.

 

To apply for an EIDL, please visit: https://disasterloan.sba.gov/ela/Account/Login?ReturnUrl=%2Fela%2FLoanApplication%2FStartApplication.

 

 

What constitutes a “small” business?

SBA size regulations for “small business”:

 

COVID-19 EIDLs – Additional Details and Key Takeaways

 

Application Filing Deadline: December 16, 2020.

 

Recent Updates

 

In a March 17, 2020 press release, the SBA Administrator issued revised criteria for states or territories seeking an economic injury declaration related to Coronavirus (COVID-19), which made it much easier for states and territories to request SBA assistance more broadly for their respective jurisdictions.

 

In sum, these relaxed criteria are expected to have the following immediate effects:

 

We are actively monitoring the resources that become available to businesses for relief during this time. For more information or if you have questions about resources as they become available, please contact one of our attorneys at

The legal professionals at Stubbs Alderton & Markiles, LLP will continue to monitor changes to legislation and publish updates as information becomes available. Please contact one of our attorneys at SA&M if you would like to discuss how these changes might affect your business.

magnifiercrossmenu