While there has been great focus on the Paycheck Protection Program and the Economic Injury Disaster Loan, we wanted to be sure you were aware of two additional U.S. Small Business Administration (SBA) program resources for small businesses.
The SBA is offering 7(a), 504 and Microloan Debt Relief to small businesses with existing non-disaster Small Business Administration Loans. As part of the program, the SBA will automatically pay the principal, interest, and fees for the next six months for borrowers with existing SBA 7(a) loans, 504 loans, and microloans.
Under the Debt Relief Program, the SBA will also cover payment of principal, interest, and fees for small businesses who apply for and receive a new 7(a), 504 or Microloan prior to September 27, 2020. Contact your small business lender directly regarding prospective debt relief available through this program
The SBA has also launched the SBA Express Disaster Bridge Loan program to enable small businesses to apply for financing of up to $25,000 from SBA Express Lenders while they wait for decision and disbursement of an Economic Injury Disaster Loan (EIDL). SBA-guaranteed loans through this program will serve as invaluable bridge financing, and be repaid in full or in part by proceeds from the EIDL loan.
To be eligible, businesses must have had an operating venture as of 3/13/20. Contact your small business lender directly regarding this program, or go to the Express Bridge Disaster Loan guide for more detail.