Governors across the country are declaring disaster status to allow small businesses in their states to receive a disaster loan through the U.S. Small Business Association. The loans are made available to designated states and will provide low-interest federal disaster loans to small businesses suffering economic injury as a result of Coronavirus.
The SBA’s Economic Injury Disaster Loans will offer up to $2 million in assistance to pay fixed debts, payroll, accounts payable, and other bills that cannot be paid because of the impact of Coronavirus.
So far, the following states have declared disaster status: New Mexico, California, Washington, Maine, Connecticut, Nevada, District of Columbia, Rhode Island, Delaware, Utah, Montana, New Hampshire, Florida, New Jersey, Massachusetts, North Carolina, Georgia, Michigan, and Indiana.
The number of states in which these loans are available is fluid, with more states likely coming on board in the coming weeks considering state, executive, and congressional actions. NFIB will continue to monitor and update this page.
The interest rate for small businesses is 3.75% and for non-profits, it is 2.75%. The loans have long-term repayment options in order to allow affordable payments with a maximum of up to 30 years. Repayment plans will be determined on a case-by-case basis, based on the borrower’s ability to repay.
To determine eligibility and apply, please visit: https://disasterloan.sba.gov/ela/.