NCET Biz Tips: You got a COVID Economic Injury Disaster Loan – now what?

The pandemic hit businesses. Hard. That is an understatement. As such, Congress passed the largest economic relief bill in U.S. history – the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act, and following Consolidated Appropriations Act of 2021, allowed for the U.S. Small Business Administration to back low-interest, fixed-rate, long-term loans to help SMBs overcome the effects of the pandemic by providing working capital to meet operating expenses.

These loans are not forgivable and must be repaid

Requirements vary depending on the size of the loan

Payments are deferred for the first two years (during which interest will accrue), and payments of principal and interest are made over the remaining loan term.

There’s no penalty for prepayment

Well, here we are… two years later. And the bill is coming due. The payment deferral period for millions of dollars secured here in Nevada is starting to sunset.

So, what are you to do?

Sometimes finding the answer on government websites is hard. It can be even harder to get a person on the phone. Which is why the U.S. Small Business Administration, Northern Nevada office is partnering with NCET. SBA Economic Development Specialist Elizabeth Weeks will be presenting at the free NCET Biz Café event on Jan. 18 at the Innevation Center.

Elizabeth will cover:

Overview of the COVID EIDL program

Your loan details

How to make payments

How to identify your Loan Servicing Center

Help with planning your payment

NCET is a member supported nonprofit organization that produces educational and networking events to help people explore business and technology. More info can be found at www.NCETcafe.org

Elizabeth Weeks is economic development specialist for the Nevada district office of the U.S. Small Business Administration.