It was just 2 weeks ago that the Coronavirus began to make news in the US. Now the enormity of the health crisis facing our country and the effect it is having on our economy has become apparent. This was impossible to predict and difficult to plan for. Small businesses, the backbone of our communities, are suffering already.
In this time of crisis, the US government is making low-cost Economic Injury Disaster Loans (EIDL) available. These loans are guaranteed by the Small Business Administration and are designed to help small businesses through difficult times. EIDLs provide working capital to help small businesses survive until normal operations resume after a disaster.
The SBA is an independent government agency that was established in 1953 by President Eisenhower to aid, counsel, nurture, and protect small businesses. Normally focused on assisting businesses with startup and growth, the agency offers a variety of resources to small businesses including access to capital, entrepreneurial development, government contracting, and advocacy services. In times of economic disaster, the agency shifts its priority to protection.
Terrace Finance, too, is normally focused on securing financing businesses interested in growth. Our agents have many years of experience with the SBA loan application process as well as other working capital and equipment financing options for businesses. They can help you determine the best solution to your needs. SBA loans have a bad reputation for being difficult, slow and requiring you to pledge all of your assets to guarantee the loan. Much of this reputation is undeserved. In reality, this special program is designed to be quicker and has an aggressive rate of 3.75% for for-profit and 2.75% for non-profit businesses.
The government application process can feel overwhelming to some. For those that want assistance, Terrace Finance can help you work through the entire process ? from completing the application and submitting the documents, to handling the questions from the underwriters.
In the meantime, the entire Terrace Finance family hopes that you, your family, and your employees stay healthy through this crisis.