Thanks to a concerted effort by the state of Minnesota and the Small Business Administration (SBA) to contain the economic impact of Coronavirus, the state’s small businesses are now eligible for the SBA Economic Injury Disaster Loan (EIDL) Program and can apply for a loan on the SBA website at SBA.gov/disaster.
- This program can provide low-interest loans of up to $2 million to small businesses and private non-profits.
- These loans may be used to pay fixed debts, payroll, accounts payable and other bills.
- The current interest rate is 3.75% for small businesses. The non-profit rate is 2.75%.
- These loans have long-term repayment options, up to a maximum of 30 years.
- These loans are only intended as working capital loans utilized to assist with impact caused by the coronavirus emergency efforts.
- Loan applications will be evaluated by SBA loan officers. Criteria includes:
- Credit history acceptable to the SBA
- Repayment abilities
- Eligibility: business must be headquartered in a declared state and suffered working capital losses due to the declared disaster (not a general downturn in business due to the economy or other reasons).
- Need help filling out the application? Access these step-by-step instructions.
Forms to Fill Out FIRST
Here’s a list of documents you’ll need to provide to complete the application:
- SBA Form 5 or SBA Form 5C for sole proprietorships – SBA loan application.
- IRS Form 4506T – Tax Information Authorization for the applicant, principals and affiliates.
- Complete copies of the most recent Federal Income Tax Return.
- SBA Form 2202 – Schedule of Liabilities.
- SBA Form 413 – Personal Financial Statement.
- SBA Form 1368 – Monthly sales figures.
Join the SBA to learn more about the Economic Injury Disaster Loan program.
Monday, March 23, 1 pm; Register
These trainings will cover program eligibility, use of proceeds, terms, filing requirements, and additional small business resources. After registering, you will receive the Skype webinar log in information.
The SBA will be conducting trainings twice a day until demand is met. Spanish language training will be coming soon.
SBA partners and sister agencies are ready to help. This is by no means an all-inclusive list, but it should give you a good starting point to get the help you need to deal with the crisis at hand.
Local Partner Info
- SBA Resource Partners are ready to help with no-cost, one-on-one business counseling regarding COVID-19.
- Entrepreneur Fund has COVID-19 Updates & Resources and is offering 30-minute consults with a Lender or Advisor by email or phone.
- WomenVenture is open, ready to help and has created a
COVID 19 Update Hub with details.
- Minnesota DEED has created a Covid 19 webpage with Minnesota specific information to help small businesses.
- WBDC/WBENC Covid 19 resources for Women Owned Businesses.
Federal Program Info
- For information on all federal programs, visit www.usa.gov/coronavirus or https://www.usa.gov/espanol/coronavirus (en Español).
- The IRS has established a web page to help taxpayers, businesses and others affected by the coronavirus.
- The U.S. Department of Labor has resources to help workers and employers prepare for the COVID-19 virus, including use of
Family Medical Leave.
- New guidance outlines flexibilities that states have in administering their unemployment insurance programs to help Americans affected by coronavirus.
For more on SBA programs for the coronavirus, please visit www.sba.gov/coronavirus.
To make sure you get additional information as it becomes available, visit sba.gov/updates.
The SBA will also be posting information on Twitter (@SBA_Minnesota) as it becomes available. Join them there.
Still need help? Call the SBA’s Disaster Customer Service Center at
800-659-2955 or email email@example.com. Individuals who are deaf or hard-of-hearing can call 800-877-8339.