The federal Small Business Administration (SBA) Economic Injury Disaster Loans program is expanding to cover impacts from COVID-19, per legislation passed last week. Details are still being worked out, but here’s what we know so far:
Update March 16
Three meetings set for businesses to learn about the new SBA EIDL loans
Learn about the new SBA Economic Injury Disaster Loans program for economic impacts from the coronavirus. You can participate in any or all of these:
Call With Senator Murray’s Office and SBA Region X
Tuesday, March 17, 2020, 10:00AM PT
Format and Connection details
Provided when you RSVP to shawn_bills@murray.senate.gov.
Rep. Kilmer Teleconference Call for Small Businesses Affected by COVID-19
Wednesday, March 18, 2020, 10:30AM PT
Hosted by Tacoma Chamber of Commerce. Panelists include Kerrie Hurd from the US Small Business Administration and Director Lisa Brown from the Washington State Department of Commerce.
Format
Listen only. To ask questions of the panelists please email alisonb@tacomachamber.org use Subject: COVID-19
Connection Details
Web conference: https://zoom.us/j/910757735
Teleconference: US: +1 669 900 6833 or +1 929 205 6099
Webinar ID: 910 757 735
SBA Region X and Clallam County businesses and economic development entities
Wednesday, March 18, 2020, 1:00PM PT
This is the best opportunity for local businesses to ask SBA staff specific questions about the loans.
Format
Question/Answer
Connection Details
Dial (509) 495-1015. Access code 266777340#.
Announcement of COVID-19 EIDL: https://content.govdelivery.com/accounts/USSBA/bulletins/28180e8
Online application: https://disasterloan.sba.gov/ela/Account/Login?ReturnUrl=%2Fela%2FLoanApplication%2FStartApplication
This site is currently struggling with demand and may be slow or unavailable. Be patient but persistent!
Eligible counties: https://disasterloan.sba.gov/ela/Declarations/DeclarationDetails?declNumber=6062967&direct=false
Clallam and Jefferson are among the 32 qualifying counties in Washington state.
What You Need
To apply, you’ll need to show income “prior” to the crisis and “post” crisis, so go ahead and start gathering the following documentation:
P&L Statements for 2018 & 2019, YTD 2020. (monthly sales data is helpful)
Complete copies, including all schedules, of the most recent Federal income tax returns for your business. (Note, if you haven’t filed 2019 tax return, your P&L with a balance sheet may be acceptable)
Personal Financial Statement for each principal owning 20% or more of the applicant business, each general partner or managing member
Schedule of Liabilities listing all fixed debts.
Existing SBA Loans
If you have an existing SBA Guaranteed Loan, I recommend you contact your lender. Through SBA’s regular policies, SBA participating lenders have some servicing options where they may be able to work with you on payment deferments, loan modifications, etc. It’s also a good idea to reach out any conventional financing lenders because they may be able to make similar concessions as SBA guaranteed loans, dependent upon bank policies.
In addition to traditional commercial lenders, we also have microlending partners where loans offered range from $500 to $50,000. SBA provides funding to these organizations who then re-lend this money to qualified small businesses. The microloan program may be a fit for relatively small financing needs or in instances where a loan applicant is having difficulty obtaining financing from a traditional lender. The active SBA microlenders in the area include: Business Impact Northwest, Ventures and MercyCorps Northwest.
For general information specifically related to Disaster preparedness and resiliency, you may also visit https://www.sba.gov/funding-programs/disaster-assistance.
CIE is ready to help your business develop a resiliency plan and determine your eligibility for, and help you access, federal and state emergency loans or other economic relief. Contact us.