Economic relief for small businesses suffering economic injury as a result of the coronavirus (COVID-19) is now available to those in designated states and territories through the U.S. Small Business Administration (SBA).
CohnReznick has assembled a national task force to assist clients with filing for these low-interest SBA federal disaster loans and providing required financial documentation. Contact one of the leaders highlighted on this page or your CohnReznick engagement team.
SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance and are available to small businesses and private, non-profit organizations to provide working capital and alleviate economic injury from any temporary loss of revenue. Funds can be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact.
The interest rate for SBA’s loans is 3.75% for small businesses and 2.75% for non-profits. Long-term repayments are available to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.
For a current list of states and territories eligible for disaster loans, visit SBA’s site.
InsightThe Restaurant Revitalization Fund: What to knowStephanie O’Rourk, Taylor SphonRead about eligibility, application guidelines, grant amount calculations, and more key information on the American Rescue Plan Act’s RRF program.
InsightShuttered Venue Operators Grant (SVOG) program open for applicationsJohn LanzaRead insights on what businesses and not-for-profits impacted by COVID-19 need to know on Shuttered Venue Operators Grants (SVOG).
InsightExtension and expansion of PPP loans: What to know about first- and second-draw loansClick to learn about the new first- and second-draw PPP loans: Who is eligible, how to apply, maximum loan amounts, loan forgiveness rules, and more.
InsightUnderstanding the SBA's Economic Injury Disaster Loans (EIDL) program for COVID-19Businesses that have suffered losses related to the COVID-19 pandemic can apply for Small Business Administration (SBA) loans of up to $2 million. Here’s what to know.