Tuesday, March 24th
This past week the Covid-19 pandemic has been a rapidly changing reality and our mind is focused on you, your families and businesses, and the impact this is having as it unfolds. Washington state has been hit hard and your business may already be seeing a financial impact.
So, we would like to let you know about some emergency economic relief in the form of U.S. Small Business Administration (SBA) loans now available for businesses.
What type of loans are these?
Small businesses in many Washington counties are now eligible to apply for low-interest SBA Economic Injury Disaster Loans (EIDL) to offset economic losses because of reduced revenues caused by the impact of the COVID-19 pandemic.
- SBA EID 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 and 2.75%. for non-profits.
- 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.
What counties are eligible?
As of today, businesses in the following Washington state counties are eligible:
Grays Harbor, Island, Jefferson, King, Kitsap, Klickitat, Mason, Pacific, Pierce, San Juan, Thurston, Walla Walla, Whatcom, Whitman.
Adams, Asotin, Benton, Chelan, Clallam, Columbia, Franklin, Garfield, Kittitas, Lewis, Lincoln, Okanogan, Skagit, Skamania, Snohomish, Spokane, Wahkiakum, Yakima.
Benewah, Latah, Nez Perce.
Gilliam, Hood River, Morrow, Sherman, Umatilla, Wasco.
I’m interested; what’s next?
You can apply for a loan online (apply online) or using paper forms, but we recommend using the online application process to speed up processing, which can take 2-4 weeks per the representative we spoke with today.
To apply for an EID loan, you will need to be prepared with various financial and other documentation for the business and you as the owner(s). To see what you need before you start the online application process, we have downloaded all the required EID loan application documents and saved them as pdfs on our website for your review. They can be found HERE.
Once the SBA reviews your application, you will be assigned a loan officer from the Business Loan Department located in Texas. There will be no physical locations set up to offer filing assistance due to the nature of the Covid-19 emergency. Once assigned, the loan officer will be your main contact and you can work with the officer on updates or revisions as necessary. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.
More information is available at https://www.sba.gov/disaster-assistance/coronavirus-covid-19. If you do not have access to a computer or smartphone, please call the SBA at 1‐800‐659‐2955 for assistance.
Please let us know if we can help. You and your families are very important to us.