The SBA and the FDEO Provide Relief to Small Business Struggling With Coronavirus (COVID-19)
The Small Business Adminstration and the Florida Department of Economic Opportunity are both providing financial assistance to businesses that are struggling to make ends meet due to the economic hardships caused by the Coronavirus (COVID-19). This never before seen pandemic has threatened the closure of many small businesses throughout the world, and the state and federal governments have stepped in to try to mitigate the financial harm that it is causing.
The SBA is providing Economic Disaster Injury Loans up to $2 million dollars to businesses between 2 and 100 employees that have been effected by the coronavirus. The loans are being offered to for-profit businesses at a fixed interest rate of 3.75% for a term of up to 30 years. Not-for-profit business are being offered interest rates as low as 2.75%.
Because it may take some time before a business to receive this type of assistance, the Florida Department of Economic Opportunity is providing small businesses with bridge loans of up to $50,000.00 ($100,000.00 in special circumstances) to help businesses bridge the gap in time before they receive an SBA loan, business interruption insurance payments, or can otherwise resume normal business activities. The Florida Small Business Emergency Bridge Loan Program offers these loans interest free loans for up to a year, but then would accrue at a 12% interest rate thereafter.
Contact Our South Florida Loan Assistance Lawyers
Our Coronavirus (COVID-19) Small Business Loan Assistance attorneys will help guide you through the loan application process to help you in these uncertain economic times. Contact Light & Gonzalez, PLLC today to speak with a lawyer who can go over all your legal options.