Below is important information for all small business owners from the SBA regarding Coronavirus disaster loan terms and eligibility.
Top Level Summary
- 42 states/territories have been declared as emergencies
- The other 14 states and territories are all in the declaration process, some should be approved as early as tomorrow
- Eased requirement for governors to establish an emergency declaration so it is moving much faster now
- Apply at sba.gov/disaster
- Will need to complete a two-page application, 4506T IRS form to transfer information, and a personal finance statement
- More information might be requested for more complex businesses or those seeking a higher loan amount
- Offer up to $2 million in loans to a small business or non-profit for working capital needs
- Term can go out to 30 years
- Interest rate for small businesses is 3.75% and for non-profits is 2.75%
- Authorized 1-year deferment on the first payments
- Rumors of SBA taking 4-6 months until constituents receive their money are NOT true. Their current average processing time is 2-3 weeks, but some can take just a few days.
- SBA District offices (find your nearest here) can also serve as a resource to Congressional offices and small businesses
You can also download the official SBA news release: SBA Offers Disaster Assistance to New York Small Businesses Economically Impacted by the Coronavirus (COVID-19)