As a small small business owner, I was thrilled to study about the $2.2 trillion Coronavirus Help, Aid, and Financial Safety Act that delivers reduced-interest loans to companies impacted by the COVID-19 pandemic. However, as I read by means of the particulars and commenced to utilize, it became apparent that this legislation — although very well-intentioned — may not be more than enough to help many SMBs and startups.
Here’s a swift recap of my knowledge.
Emergency Economic Injuries Grants and Financial Injuries Catastrophe Financial loans
Very first and foremost: You want to act quickly. Crisis Financial Harm Grant and Financial Damage Catastrophe Bank loan plans provided in the CARES Act perform on a initial-appear, very first-served basis, and are funded from a confined pool of assets.
I commenced my company’s software method by distributing our EIDL and EEIG purposes by the SBA internet site. This was uncomplicated, if wearisome. It took about two several hours to comprehensive the important on the net types and about two seconds to click the EEIG checkbox. Submission was seamless, but I have not been given any additional conversation from the SBA considering the fact that finishing my software, which is a bit perplexing — EEIG money are meant to be dispersed in 3-5 days of the submission date.
Nevertheless, I know there’s been a large quantity of submissions lately and this will have to be extremely challenging to cope with. I glimpse forward to any e-mail correspondence or updates from the SBA that may possibly give me — and other applicants — an up to date estimate of the envisioned dispersal timeline.