The SBA recently increased the loan amounts for Economic Impact Disaster Loans associated with COVID-19.
For loans approved starting the week of April 6, 2021, the loan amount has been extended to 24-months of economic injury with a maximum loan amount of $500,000.00. To submit an initial EIDL loan request for you or your clients, apply at the SBA's COVID-19 EIDL page.
Some businesses with loans approved prior to the week of April 6th will be eligible for an increase based on the new limits. If you applied for loans for yourself or your clients prior to April 6th, do not initiate an increase request. Instead, the SBA will reach out directly by email to provide more details. Businesses are beginning to receive these emails. Details on how to request a loan increase are provided in the email from the SBA and should be followed carefully. Note: The SBA is expecting a high volume of requests, so anticipate a delay in response and do not submit multiple requests for the same loan increase.
Terms for EIDL loans are:
- 3.75% for business (fixed)
- 2.75% for non-profits (fixed)
- 30 years
- no pre-payment penalty or fees.
EIDL proceeds may be used for working capital and normal operating expenses. Collateral is required for loans over $25,000. EIDL loans are not forgivable.
EIDL Advances are no longer available; however, Targeted EIDL Advanced are continuing to be processed by the SBA. The Targeted EIDL Advance program provides businesses in low-income communities with additional funds to ensure small business continuity, adaptation, and resiliency. Advance funds of up to $10,000.00 will be available to qualifying applicants who previously received an advance of less than $10,000 or those who applied but received no fund due to lack of available funding. Applicants do not need to take any action. The SBA is contacting those who qualify.