The United States Small Business Asministration (SBA) on June 15 reopened its online portal for qualified small businesses and not-for-profit (NFP) organizations suffering economic damage as a result of the Coronavirus (COVID-19) Pandemic to apply for an Economic Injury Disaster Loan (EIDL) Emergency Grant (forgiveable) and/or low-interest loan.
EIDL Emergency Grants are worth a miximum of $10K, based on a limit of $1K per employee, while the EIDL low-interest loans are available for a term of up to 30 years at an interest rate of $3.75 percent for small businesses and 2.75 percent for NFPs.
“The SBA is strongly committed to working around the clock, providing dedicated emergency assistance to the small businesses and non-profits that are facing economic disruption due to the COVID-19 impact. With the reopening of the EIDL assistance and EIDL Advance application portal to all new applicants, additional small businesses and non-profits will be able to receive these long-term, low interest loans and emergency grants – reducing the economic impacts for their businesses, employees and communities they support,” said SBA Administrator Jovita Carranza.
“Since EIDL assistance due to the pandemic first became available to small businesses located in every state and territory, SBA has worked to provide the greatest amount of emergency economic relief possible. To meet the unprecedented need, the SBA has made numerous improvements to the application and loan closing process, including deploying new technology and automated tools.”
While ineligible for federal Payroll Protention Program (PPP) funding as a 501(c)(6) NFP, the Elmhurst Chamber of Commerce & Industry applied for and received $3K in EIDL Emergency Grant monies, and has been approved for an EIDL low-interest loan of $100,200, which accounts for less than 30 percent of our organization’s annual operating budget.
“During the three-month period from March through May, our Chamber has lost more than $30K in membership dues income and some $20K in non-dues revenue and, without the safety net afforded to PPP recipients, EIDL funding is essential in providing job security at a time when too many of our peers have furloughed employees or even closed their doors,” stated John R. Quigley, ECCI President and CEO since 1999.