PERMIAN BASIN, Texas (Big 2/Fox 24) – The U.S. Small Business Administration is lending a hand to local non-profits and small businesses in declared disaster areas.
Businesses and organizations can now apply for the Economic Injury Disaster Loan. It is a low-interest loan designed to provide small businesses, with working capital loans, up to $2 million that can help them in overcoming their temporary loss of revenue.
“We’re deeply committed to ensuring that small businesses have the support they require,” stated President Donald Trump referring to the EIDL loan.
Amid the global Coronavirus outbreak, Governor Greg Abbott has declared a State of Disaster in Texas. This gave West Texas organizations the option to apply for the federal EIDL loan. It can help offset revenue losses that are not fully covered by your insurance or funding from the Federal Emergency Management Agency. They can be used to pay fixed debts, payroll and other bills that cannot be paid.
“We’ve asked Congress to increase the SBA lending authority,” said Trump. “So they’ll be helped.”
The interest rate is 3.75 percent for small businesses and 2.75 percent for non-profits. SBA also offers long-term repayments of up to 30 years.
In order to apply, you must first see if your state of residency has been designated as an affected area. You can see the list of eligible states and counties here. Then, you can begin your application online at sba.gov. Lastly, you can check the status of your application online or through email updates.