APACHE & NAVAJO COUNTIES — The U.S. Small Business Administration (SBA) is offering low-interest Economic Injury Disaster loans for working capital to small businesses and non-profits suffering substantial economic injury as a result of the Coronavirus (COVID-19). There is no cost to apply for the loan and there is no obligation to take the loan if offered. Eligible entities may qualify for loans up to $2 million. In most cases, real estate collateral will not be required. The maximum unsecured loan amount is $25,000. The interest rate is 3.75% for small businesses or non-profits with terms up to 30 years. The 1st payment can be deferred up to 12 months. Eligibility for these working capital loans are based on the size (must be a small business or non-profit) the type of business and its financial resources.
These working capital loans may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. The loans may not be used to refinance existing loans and are not intended to replace lost sales or profits or for expansion.
(source – U.S. Small Business – Office of Disaster Assistance -Field Operations Center – East)
How to Apply
• Create login ID and password
• Be sure to click Economic Injury as the type of loan that is being applied for.
• When the application is accepted, you will get a loan number. Make sure to keep this number handy.
• A loan officer from the SBA will contact you to discuss your application.
• If approved, you should receive payment within 2-4 weeks.
If you have any trouble with the loan application, Register for Help
to contact a representative at the Small Business Development Center (SBDC) office at Northland Pioneer College for no-cost assistance.
• Paper loan applications can be downloaded at www.sba.gov/disaster. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155
• Loan information and application forms may also be obtained by calling the SBA’s Customer Service Center at 800-659-2955 (800-877-8339 for the deaf or hard of hearing) or by sending an email to firstname.lastname@example.org.
Basic Filing Requirements:
• Completed SBA loan application (SBA Form 5) or (SBA Form 5C for Sole Proprietorship)
• Tax Information Authorization Form for the applicant, principals and affiliates (IRS Form 4506T)
• Schedule of Liabilities (SBA Form 2202)
• Personal financial statement (SBA Form 413)
Note: Other information that may be required.
• Complete copy, including all schedules, of the most recent Federal income tax return for principals, general partners or managing member, and affiliates (see filing requirements for more information).
• If the most recent Federal income tax return has not been filed, a year-end profit-and-loss statement and balance sheet for that tax year.
• A current year-to-date profit-and-loss statement.
• Additional Filing Requirements (SBA Form 1368) providing monthly sales figures. (This is especially important for Economic Injury Disaster Loans.)