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Small Business Association accepting pandemic related loan applications

Grayson Chamber of Commerce president Michelle Wilhoit shared information from the U.S. Small Business Association about COVID-19 related funds and loans that may be available for businesses suffering during the pandemic. 

Small businesses, including non-profits and agricultural businesses can apply online at https://covid19relief.sba.gov/. 

Information on the SBA website explains; 

“In response to the Coronavirus (COVID-19) pandemic, small businesses, including agricultural businesses, and non-profit organizations in all U.S. states, Washington D.C., and territories can apply for an Economic Injury Disaster Loan (EIDL). The EIDL program is designed to provide economic relief to businesses that are currently experiencing a temporary loss of revenue due to COVID-19. EIDL proceeds can be used to cover a wide array of working capital and normal operating expenses, such as continuation to health care benefits, rent, utilities, and fixed debt payments. 

“On June 15, SBA resumed accepting new Economic Injury Disaster Loan (EIDL) applications from all qualified small businesses, including agricultural businesses, and non-profit organizations.” 

EIDL Advance funds, however, have been discontinued. 

“All available funds for the EIDL Advance program have been allocated.” the release explained. “By law, SBA is not able to issue EIDL Advances once program funding has been obligated and is no longer available. EIDL loan applications will still be processed even though the Advance is no longer available. 

“The amount of the EIDL Advance was determined by the number of employees indicated on the EIDL application at $1,000 per employee, up to a maximum of $10,000. The EIDL Advance does not have to be repaid. Recipients did not have to be approved for an EIDL loan in order to receive the EIDL Advance, but the amount of the loan advance is be deducted from total loan eligibility.” 

The eligibility for agricultural businesses is a new provision, and one that could help farmers and other agriculture related businesses in Carter County and eastern Kentucky. 

“The new eligibility for agricultural businesses with 500 or fewer employees is made possible as a result of additional authority and funding appropriated by Congress in response to the COVID-19 pandemic,” the release explained. 

“Agricultural businesses includes those businesses engaged in the production of food and fiber, ranching, and raising of livestock, aquaculture, and all other farming and agricultural related industries (as defined by section 18(b) of the Small Business Act (15 U.S.C. 647(b)).” 

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