Economic Injury Disaster Loans

30 May 2020 2:48 PM | Start. Law (Administrator)

The CARES Act expands access to SBA’s economic injury disaster loans (EIDL) program to businesses with fewer than 500 employees. 

Eligible businesses that suffer substantial economic injury as a result of a disaster or emergency, which now includes COVID-19, can apply for a loan under this program between January 31, 2020, and December 31, 2020.

No personal guarantee is required for EIDLs under $200,000, and the loan can be made solely upon the applicant’s credit score.

Initial advances of up to $10,000 can be issued within three days and need not be repaid.

The loan will bear a low rate of interest; however, unlike PPP 7 loans, the act does not provide for forgiveness for EIDLs.

Businesses may receive both PPP loans and EIDLs, so long as both loans are not used for the same purpose or otherwise duplicative.


Stay Connected

office@start.law

Subscribe to our blog


California

2100 Geng Rd, Suite 210

Palo Alto, CA 94303

(650) 209-6266


New York

600 Third Avenue, Second Floor

New York, NY 10016

(332) 217-1471


This website is a public resource for general information.  Nothing on this website should be used as a source of legal or tax advice.  Each legal problem is different, and past performance does not guarantee future results.                    

Privacy Policy    Terms and Conditions