SBA extends Economic Injury Disaster Loan application deadline

By Jason Thomas, Louisville Business First

The U.S. Small Business Administration announced in a news release that the deadline to apply for the Economic Injury Disaster Loan (EIDL) program for the Covid-19 Pandemic disaster declaration is extended to Dec. 31, 2021.

The deadline extension comes as a result of the recent bipartisan Covid-19 relief bill passed by Congress and enacted by President Donald Trump on Dec. 27.

To date, the SBA has approved $197 billion in low-interest loans that provide working capital funds to small businesses, nonprofits and agricultural businesses impacted by the pandemic, according to the release.

At this time, Congress has not replenished the EIDL Advance funds.

“Following the president’s declaration of the Covid-19 pandemic, the SBA has approved over 3.6 million loans through our Economic Injury Disaster Loan program nationwide,” Administrator Jovita Carranza said in the release. “The EIDL program has assisted millions of small businesses, including nonprofit organizations, sole proprietors and independent contractors, from a wide array of industries and business sectors, to survive this very difficult economic environment.”

EIDL loan applications will continue to be accepted through December 2021, pending the availability of funds. Loans are offered at a 3.75% interest rate for small businesses and 2.75% interest rate for nonprofit organizations, a 30-year maturity, and an automatic deferment of one year before monthly payments begin.

Every eligible small business and nonprofit are encouraged to apply to get the resources they need.

For more information, click here.