Deadline Approaching to Apply for EIDL Loans Due to California Cache Fire

The Small Business Administration (SBA) has announced that small businesses affected by the Lake County Cache Fire that occurred in August 2021 will have until August 17, 2022 to apply for the Economic Injury Disaster Loan (EIDL).

The deadline for EIDL is August 17th

The Lake County Cache Fire, which occurred from August 18 to August 23, 2021, destroyed 138 buildings, including 57 homes, and burned more than 80 acres.

Small businesses and nonprofits in Colusa, Glenn, Lake, Mendocino, Napa, Sonoma, and Yolo counties may be eligible for a federal disaster loan of up to $2 million to meet the working capital needs created by the disaster.

In addition to offering loans of up to $2 million, EIDL also offers a low interest rate of 2.855 percent for businesses and 2 percent for private nonprofits with maturities up to 30 years. The loan amounts and terms are determined by SBA and are based on the financial condition of each applicant.

“Economic Injury Disaster Loans can be used to pay fixed debt, payroll, accounts payable and other bills that cannot be paid due to the impact of the disaster. Economic injury assistance is available regardless of whether the applicant has suffered property damage,” said Tanya N. Garfield, director of SBA’s Disaster Field Operations Center-West Garfield.

EIDL loans are small business loans that are partially guaranteed by the SBA and issued by participating lenders, usually banks. EIDL is designed to assist small non-farm businesses, small agricultural cooperatives, small aquaculture businesses and private non-profit organizations of all sizes apply for loans of up to $2 million to meet working capital needs due to the disaster.

How to apply?

To be eligible, companies must be located in disaster areas and have suffered economic injury. The loans can be used to cover losses not covered by insurance or Federal Emergency Management Agency funding for both personal and business purposes. It can also be used for operating costs that could have been covered had the disaster not occurred.

To apply for EIDL loans, you need to check if the SBA has issued a disaster declaration in their area; Apply for an emergency loan and verify that you have gotten the loans by going to your account and checking your email for updates.

Businesses can apply online to receive disaster relief information by downloading applications at https://disasterloanasstance.sba.gov/. They can also call the SBA Customer Service Center at (800) 659-2955 or email rampcustomerservice@sba.gov. The application deadline is August 17, 2022.

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This post Deadline Approaching to Apply for EIDL Loans Due to California Cache Fire was original published at “https://smallbiztrends.com/2022/07/deadline-approaching-to-apply-for-california-cache-fire-eidl-loans.html”

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