The U.S. Small Business Administration (SBA) issued a disaster declaration for the state of Indiana, offering financial assistance for Hoosier small businesses impacted by the novel coronavirus (COVID-19) outbreak in the state.
Economic Injury Disaster Loans (EIDLs) – Working capital loans (not grants) to help small businesses and most private, non-profit organizations of all sizes meet their ordinary and necessary financial obligations that cannot be met as a direct result of the disaster. These loans are intended to assist through the disaster recovery period.
Rates & Terms – Fixed rate @ 3.750% for up to 30 years
For documentation – small businesses will need: prior years’ tax returns, monthly P&Ls during the eligible period for Economic Injury, previous monthly P&Ls if possible for comparison, list of all fixed debts, personal finances, anything that can be documented in photos to correspond to records (e.g., empty shelves = supply chain shortages; excess inventory = products not selling, etc.) or by email chain (e.g., event cancellations, order cancellations) or other records (notice of business closure for specified dates, etc.).
To qualify for disaster loans – applicants must demonstrate credit history, the ability to repay the loan, and proof of physical presence in Indiana and working capital losses. Additionally, the Indiana Small Business Development Center, which has 10 regional offices throughout the state, will provide free business advising and application assistance for small businesses impacted by the COVID-19 outbreak.
Online instructional guide: https://tinyurl.com/EIDLInstructions
Online application: https://disasterloan.sba.gov/ela/
