**Update - 6/15/20 - SBA has resumed accepting applications

**Update - 4/16/20 - EIDL funds have been depleted.  SBA is no longer accepting applications.

  • Almost all businesses in existence on January 31, 2020, with 500 or fewer employees, can apply if they have “suffered substantial economic injury” caused by the pandemic.  This includes sole-proprietors, independent contractors, most private nonprofits, etc.
  • Apply directly with the SBA on their website.  They may rely on the credit score of the borrower, but tax returns may be reviewed as well.
  • Max loans - $2 million.  No collateral required if $25,000 or less.
  • Funds can be used for almost any business expenses, but not expenses already paid for with a PPP loan.
  • Terms:  For profits – 3.75%; non-profits – 2.75%; both for up to 30-years.  Payments deferred for one year.  No prepayment penalty.
  • Up to $10,000 Emergency Grant - received within three days of application (hasn’t been the case, but that is what they say).
    • This amount has been changing over the past week or so.  The SBA has signaled that it may only award $1,000 per employee up to 10.  But that has not been officially announced as of 4/10/2020.
    • The grant is fully forgivable even if you do not end up getting the EIDL loan.
    • If you also receive a PPP loan, this grant will be subtracted from the forgivable portion.
  • Apply at SBA.gov/disaster.  The process is very quick and easy.  Loans will be available through 12/31/2020.  Grants, on the other hand? Who knows?











04/14/2020 - SBA finally makes clear that the $10,000 advance will be based on the businesses pre-disaster (1/31/20) employee headcount.  They will award $1,000 per employee up to 10.  Any EIDL advance awarded to a business will be deducted from the forgivable portion of a PPP loan if both are applied for and received.

Disclaimer:  This is for informational purposes only.  Check with your accountant and/or banker for advice before proceeding with any business decisions related to the information posted here.

2020 Federal

  Banking Holidays


Wednesday Jan. 1
Monday Jan. 20
Monday Feb. 17
Monday May 25
Monday Sep. 7
Monday Oct. 12
Wednesday Nov. 11
Thursday Nov. 26
Friday Dec. 25


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