Last week, the Small Business Administration (SBA) announced a new round of Economic Injury Disaster Loan (EIDL) assistance, known as “Supplemental Targeted Advances”. This will make $5 billion in additional grants available to small businesses hit hardest by the COVID-19 pandemic.
New Grant Details
The new program offers an extra $5,000 that doesn’t need to be repaid. According to the SBA, new grants will go out to roughly 1 million small businesses in which the agency itself will contact in the weeks to come. Even better, funds will be accessible to businesses even if they already received funds from its other grant programs. So, any business that received money from the EIDL Advance in March and April of 2020 in the full $10,000 amount can qualify.
The grant offers an extra $5,000 that doesn’t need to be repaid
It’s important to note that the most any business can receive are a total of $15,000. So, if you previously received EIDL Advance or Targeted EIDL Advance totaling ($10,000) and get ($5,000) from the new Supplemental Targeted Advance – you’ve hit your max.
Any business seeking supplemental funding from this grant must meet the following criteria:
- The business location must be within a low-income community
- Experienced greater than 50% economic loss
- Employ up to 10 employees or less
Unlike the Paycheck Protection Program (PPP) which served a wider audience, this grant program is intended to target the truly small business owner. Applications from businesses contacted by the SBA will be processed on a first-come, first-served basis.
For more information, visit SBA.gov/eidl.