With the increasing Coronavirus cases around the world, the significant impact of this pandemic has fallen over the business sector. Thus, stalling the economy and slowly moving towards a global recession.
Amongst this chaos, business owners – especially small enterprises – are facing difficulty in keeping their ventures afloat. With the decreasing revenues, it is quite certain to say that they might go bankrupt.
Certain measures have been taken to protect these businesses and to keep the livelihood of these business owners alive such as the Small Business Administration Loans – SBA.
What is the Small Business Administration (SBA) Business Disaster Loan?
The United States Small Business Administration (SBA) is well known for underwriting bank loans to small business owners that need financial help. During this crisis, it is working hard to help many businesses survive with emergency loans and business counseling being high in demand.
This loan financially helps all the small businesses that are facing loss in revenue and production due to COVID-19. It provides assistance based on certain criteria and regulations.
Eligibility Criteria
Small Businesses all over the United States are welcome to apply for Economic Injury Disaster Loans. The eligibility criteria for acquiring small business loans is that the business should have less than five hundred employees who are facing difficulty in paying their bills due to the pandemic.
Process and Duration
The SBA reviews your credit rating, insurance, and losses history and application form, and it takes about 2-3 weeks to make sure that the party is eligible or not. If you are selected, then you will receive and the closing documents with the initial disbursement within five days and the rest later after you have set your loan terms and conditions.
The Amount and Interest Rates
Small businesses, non-profit organizations, and small agricultural businesses can take up to $2 million with an interest rate of 3.75% for small businesses and 2.75% on non-profit organizations.
Who to Contact When Applying for SBA Paycheck Protection Program?
It is extremely crucial that you apply for the right kind of loan which best suits your needs. Mount Beacon Consulting offers a platform that will help you in filling out your loan applications securely and effectively. They will guide you in the best possible way based on your business type and credit history and will be with you every step of the way. For more information and assistance, contact us on our website:
Conclusion
It is very vital that you apply for the right kind of loan that best suits your business, and as demand will be high, it is better to apply for these business funding now than regret later even if you think that you might need them at a later stage. These processes can be time-consuming and tedious, and if in the case of rejection, you will still be able to look towards other options.