Texas Small Businesses May Apply for SBA Economic Injury Loans
Small businesses throughout the entire state of Texas are now eligible to apply for the U.S. Small Business Administration’s Economic Injury Disaster Loans (EIDL).
“I’m encouraged by the collaboration between the Texas Governor’s Office and the SBA Disaster Team to rapidly make this recovery funding available to small businesses and nonprofits statewide,” said Justin Crossie, South Central Regional Administrator.
Small businesses are beginning to feel the impact from the spread of the Coronavirus (Covid-19). In addition to the decline in business for retailers and restaurants due to the lack of travel and tourism, some businesses are experiencing challenges related to disruption in their supply chains or export markets.
“Our goal is to help as many small businesses as we can,” said Anthony Ruiz, SBA District Director. “All of our SBA district staff members are here to assist small businesses in any way we can.”
The SBA’s EIDL offers up to $2 million in assistance per small business, and can provide vital economic support, at an interest rate of 3.75 percent for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible.
These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The direct federal loans come with long-term repayments in order to keep payments affordable, up to a maximum of 30 years. Terms are determined on a case-by-case basis, based upon each borrower’s ability to repay.
“SBA joins a whole-of-government-effort to combat the Coronavirus outbreak (COVID-19) and minimize any economic disruption to Texas’s 2.7 million small businesses, who employ nearly half the states workforce,” said Crossie. “We will get through this together and SBA will be there providing resources and support to the small business community.”
Small Businesses can apply online Business can also contact the SBA’s Disaster Customer Service Center at 800.659.2955. Individuals who are deaf or hard-of-hearing can call 800.877.8339.
Watch a step-by-step video of how to apply for an SBA loan:
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