Companies harmed by the coronavirus pandemic can quickly borrow up to $500,000 through the Small Business Administration’s emergency lending program, elevating a cap that has annoyed many candidates.
“The pandemic has lasted longer than expected,” Isabella Casillas Guzman, the company’s administrator, stated on Wednesday. “We are here to help our small businesses, and that is why I’m proud to more than triple the amount of funding they can access.”
The change to the Economic Injury Disaster Loan program — often known as EIDL and pronounced as idle — will take impact the week of April 6. Those who’ve already obtained loans however would possibly now qualify for extra money can be contacted and supplied the chance to apply for a rise, the company stated.
The Small Business Administration has accredited $200 billion in disaster loans to 3.8 million debtors because the program started final year. Unlike the forgivable loans made through the bigger and higher-profile Paycheck Protection Program, the disaster loans should be paid again. But they carry a low curiosity rate and a lengthy reimbursement time period.