November 23, 2021
Hot Topic Tuesday – Updated Guidance for Last Six Weeks of the EIDL Program
“The COVID Economic Injury Disaster Loan (EIDL) and EIDL Advance programs still have billions of dollars available to help small businesses hard hit by the pandemic. More than 3.8 million businesses employing more than 20 million people have found financial relief through SBA’s Economic Injury Disaster Loans,” says Patrick Kelley, Associate Administrator for SBA’s Office of Capital Access. “Key enhancements have been made to the loan program that will help our nation’s businesses recover and get back on track.”
Last Friday, the SBA published a press release with updated guidance for the EIDL program. Since the program’s start, almost $300 billion in COVID relief has been approved in the EIDL program, but EIDL is reaching its end. December 31st will be the last day that the SBA will accept applications for EIDL and the Targeted Advance program.
Here is the updated guidance for the last six weeks of EIDL:
• All EIDL and Targeted Advance applications will be accepted until December 31st, and applications will continue being processed into the new calendar year until funds are exhausted.
• While Supplemental Targeted Advance applications will be accepted until December 31st, the SBA might not be able to process some of the applications submitted near the deadline because of legal requirements. They will not be able to process any applications after December 31st, so borrowers are encouraged to apply by December 10th. The SBA can not guarantee that all applications will be processed by the final day of the calendar year.
• Borrowers are able to request increases up to their maximum eligible loan amount for up to two years after the loan origination date or until funds are exhausted.
• Reconsideration and appeal requests for EIDL applications will be accepted and reviewed as long as they are submitted on or before December 31st. As long as funding is still available, any reconsideration or appeal requests still must follow the following timeframes: six months from the date of decline for reconsiderations and thirty days from the date of reconsideration decline for appeals.
SBA Press Release