Early this morning, the United States Senate passed DIVISION B – Emergency Appropriations for Coronavirus Health Response and Agency Operations. The Bill has moved to the House of Representatives for approval. Every indication is that the Bill will be passed and signed into law on Friday, when the House votes on the emergency legislation.
The appropriations division of S.3548 contains $330 billion in new funding, which includes: $562 million to help small businesses by ensuring the SBA has the resources to provide Economic Injury Disaster Loans (EIDL) to businesses that need financial support. These loans are to help businesses keep their doors open and pay their employees.
The Economic Injury Disaster Loan program offers up to $2 million to aid small businesses experiencing financial losses as a result of the coronavirus pandemic.
Loan applications and supporting documents are submitted to the SBA, including:
- a signed and completed Form 5 SBA loan application;
- a signed and completed SBA Form 2022 for schedule of liabilities; and
- an Internal Revenue Service information authorization form and copies of their most recent federal tax return.
From the time the application is fully completed, with the application and all necessary documents uploaded to the SBA, it takes approximately 18 to 21 days for it to be reviewed. If the loan is approved, it takes five days for funds to be released to businesses.
Our attorneys are well experienced in the loan process and are here to help you from the application process through closing and funding.
For assistance with Economic Injury Disaster Loans, please contact Rob Dauer, Chris Smith, or any other Meyer, Unkovic & Scott attorney with whom you have worked. Contact information for Rob and Chris is included in the links below.
We hope you and your families are healthy and safe during this difficult time.
This material is for informational purposes only. It is not and should not be solely relied on as legal advice in dealing with any specific situation.
