The Mettise Group met with the Small Business Administration (SBA) yesterday morning on Economic Injury Disaster Loans (EIDL). While the State of Oklahoma’s disaster status is still being processed, we expect that this tool will be available soon.
To apply: https://disasterloan.sba.gov/ela/
PLEASE NOTE: This is a loan and may or may not be the best strategy for your situation. We are in contact with City, State and Federal resources. We expect we will see more tools (both grants and loans) coming soon.
- EIDLs provide the necessary working capital to help small businesses survive until normal operations resume after a disaster. Substantial economic injury means the business is unable to meet its obligations and to pay its ordinary and necessary operating expenses.
- The SBA can provide up to $2 million to help meet financial obligations and operating expenses that could have been met had the disaster not occurred.
- The interest rate on EIDLs is 3.75 percent per year. The term of these loans will not exceed 30 years. Your ability to repay the loan will determine the repayment term.
- Your loan amount will be based on your actual economic injury and your company’s financial needs, regardless of whether the business suffered any property damage.
- EIDL assistance is available only to small businesses when SBA determines they are unable to obtain credit elsewhere.
- Credit History: Applicants must have a credit history acceptable to SBA.
- Repayment: Applicants must show the ability to repay all loans.
- Collateral: Collateral is required for all EIDL loans over $25,000. SBA takes real estate as collateral when it is available.
- Business Loan Application (SBA Form 5)
- Must be completed and signed by the business applicant
- IRS Form 4506-T Request for Transcript of Tax Return. Completed and signed by:
- Applicant business
- Each principal owning 20% or more of the applicant business o Each general partner or managing member
- Any owner who has more than a 50% ownership in an affiliate business
- Personal Financial Statement (SBA Form 413)
- Completed, signed and dated by the applicant (if a sole proprietorship)
- Each principal owning 20% or more of the applicant business
- Each general partner or managing member
- Schedule of Liabilities listing all fixed debts
- (SBA Form 2202 may be used)
- Complete copies, including all schedules, of the most recent Federal income tax returns for the applicant business; an explanation if not available
We have a complete list of resources for business on our website http://mettise.com/covid-19-resources/ and will continue to update it as we learn of new resources.
We will continue to post daily blogs with new information.
Contact us if you have any questions.