Apply at https://disasterloan.sba.gov
- Interest rate is 3.75% for businesses and 2.75% for nonprofits
- The payback term is 30 years
- Notes do not start until 12 months after you receive the loan
- Loans of less than $25,000 will not require collateral
- Loans of more than $25,000 will require collateral, but real estate will not be accepted as collateral
- The loans will only cover your fixed expenses, such as payroll, rent, fixed debt, accounts payable, etc.
- If you already have an SBA Disaster loan, you are automatically deferred until December 2020. You do not need to apply for this.
- You can not combine this loan with an existing SBA Disaster loan
- You need to know your monthly (or an estimate) sales for each month starting back with January 2017.
- You are not required your tax returns or IRS transcript form at the time of the application, but it may be asked for later.
- Most businesses open less than one year will not be qualified for the loan.
- You have up to six months to reapply if you are declined.
- If you know your annual sales, you can just divide by 12 and do an estimate
- They can try to apply, but will have to show much more paperwork than other businesses.
- They will tell you why you were declined.
Also, the Texas Restaurant Association is offering $5,000 grants to restaurants. Please share.
Linda Tait, Director
Lamar State College-Port Arthur
Texas Gulf Coast SBDC Network
1401 Procter Street
Port Arthur, Texas 77640