SBA Offers Disaster Assistance to Puerto Rico Small Businesses
Economically Impacted by the Coronavirus (COVID-19)
The U.S. Small Business Administration is offering low-interest federal disaster loans for working capital to small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19). The Coronavirus Preparedness and Response Supplemental Appropriations Act was recently signed by the President, an Economic Injury Disaster Loan declaration.
- The Economic Injury Disaster Loan assistance declaration issued by the SBA makes loans available to small businesses and private, non-profit organizations in designated areas to help alleviate economic injury caused by the Coronavirus (COVID-19).
- The application process for Economic Injury Disaster Loan assistance is available at the website: https://disasterloan.sba.gov/ela/Declarations/DeclarationDetailsdeclNumber=6064123&direct=false
- SBA’s Economic Injury Disaster Loans offer up to $2 million in assistance and can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing.
- These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses. The interest rate for non-profits is 2.75%.
- SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.
- SBA’s Economic Injury Disaster Loans are just one piece of the expanded focus of the federal government’s coordinated response, and the SBA is strongly committed to providing the most effective and customer-focused response possible.