“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 South Central Regional Administrator Justin Crossie.
Small businesses are beginning to feel the impact from the spread of the COVID-19. Retailers and restaurants are experiencing a decline due to the lack of travel and tourism. Some businesses are also experiencing challenges related to disruption in their supply chains or export markets.
“Our goal is to help as many small businesses as we can,” Angela Burton, Lower Rio Grande Valley district director said. “The district stands ready to assist and serve our small businesses.”
About the EIDL loans
The SBA’s EIDL offers up to $2 million in assistance per small business and can provide vital economic support. The interest rate is 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. Determination of terms are 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 at sba.gov/disaster. Business can also contact the SBA’s Disaster Customer Service Center at 1-800-659-2955 or email the Disaster Customer Service Center. Individuals who are deaf or hard-of-hearing can call 800-877-8339