Question 1

Who should consider EIDL?

Accepted Answer

Smaller businesses who require less cash Loans are available up to $2M per business. You may want to consider this option if you have less than $65k in annual operating costs—the advance may be greater than the loan forgiveness. You can qualify for up to $200k without a personal guarantee or collateral. Businesses who need immediate cash If the 3-day $10,000 disbursement will help you pay payroll, provide sick leave, or finance debt, you may want to consider this option.

Question 2

Who's eligible?

Accepted Answer

The CARES Act waives any existing rules related to the personal guarantee on advances and loans of not more than $200,000 during the period of January 31, 2020 and ending December 31, 2020. The CARES Act does not expressly mention collateral requirements and the existing collateral requirements for EIDL (which generally requires a collateral for loans exceeding $25,000) appear to apply. Under the CARES Act, no requirement that the applicant not be able to obtain credit elsewhere.

Question 3

Are there any collateral, personal guarantee or credit requirements?"

Accepted Answer

The CARES Act waives any existing rules related to the personal guarantee on advances and loans of not more than $200,000 during the period of January 31, 2020 and ending December 31, 2020. The CARES Act does not expressly mention collateral requirements and the existing collateral requirements for EIDL (which generally requires a collateral for loans exceeding $25,000) appear to apply. Under the CARES Act, no requirement that the applicant not be able to obtain credit elsewhere.

Question 4

What's the application process?

Accepted Answer

The grant application is available online through the SBA’s application portal. The application should only take about 5 minutes. After applying, expect the approval and payment process to take about 3 weeks.

Question 5

What factors are considered by the lender?

Accepted Answer

The SBA may approve the applicant based solely on the applicant’s credit score and not require a tax return or tax return transcript or use alternative appropriate methods to determine the applicant’s ability to repay the loan.

Question 6

What paperwork will I need?

Accepted Answer

You'll just need your credit score and the new self-certification form—no tax returns required. The new form isn't available yet, but you can apply now using the standard form.

Question 7

How soon will I see relief?

Accepted Answer

The $10,000 grant will be administered within 3 days of submitting your application. Additional loan relief is being offered on a first come, first serve basis to businesses across all 50 states, so you may see longer wait times for loans.

TENANT

RESOURCES

Highlights from the CARES Act

$300B in relief for you and your customers is coming

Businesses are getting a tax break

Plus, additional support for our communities

Decide which option is best for you

Get a $10,000 grant in 3 days or less

Get 8 weeks of operating expenses back

Business Resources by State

SBA Loan Guidance and Resources