Secure Plus Financial
Economic Injury Disaster Loan
Notice: As of January 1, 2022, the SBA is no longer taking new COVID EIDL applications.
Effective May 6, 2022, the SBA has ceased processing requests for COVID-19 EIDL loan increases as well as reconsideration applications for previously declined loans.
Starting May 16, 2022, the COVID-19 EIDL portal at covid19relief1.sba.gov, often referred to as the “RAPID portal,” is no longer accessible.
Economic Injury Disaster Loan (EIDL)
The EIDL program, or the Economic Injury Disaster Loan Program, is an initiative run by the U.S. Small Business Administration (SBA). It helps businesses and non-profits face short-term revenue losses from disaster events.
In response to the COVID-19 pandemic, the EIDL program has been expanded to assist businesses impacted by the economic challenges of the pandemic. As part of this expansion:
- The program provides loans to help businesses cover regular costs and expenses they would usually handle if the disaster hadn’t happened.
- Along with the loan, the program provides an emergency advance (grant) of up to $10,000 to small businesses and non-profits. This advance doesn’t need to be repaid, even if the company is subsequently denied an EIDL.
- The EIDL terms include low-interest rates and extended repayment periods.
The COVID-19 EIDL program aims to offer economic support to help businesses navigate the temporary loss of revenue during the pandemic.
Who can apply for COVID-19 Economic Injury Disaster Loan (EIDL)?
Small business owners and nonprofit organizations in all U.S. states and territories.
Enhacements to the COVID-19 EIDL program
The SBA Administrator Isabel Guzman revealed major enhancements to the COVID-19 Economic Injury Disaster Loan program:
- Increase the maximum loan cap from $500,000 to $2 million.
- You can utilize the funds for debt payment and pre-payment, any ordinary operational expenses and working capital such as purchasing equipment and payroll.
- Repayment of the loan starts 24 months after its origination.
- The affiliation requirements were simplified to facilitate the EIDL application for you.
- The loan has an interest rate of 3.75% fixed for businesses and 2.75% fixed for private nonprofit organizations with a 30 years term.