All 67 Counties In Alabama Are Now Eligible To Apply for the SBA Economic Injury Disaster Loan

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March 23, 2020
Today, as always, I wanted to assure you that Your Prattville Chamber is working for you-- our members, partners and business community-- as we continue navigating together through this challenging and difficult time. As the voice of business for our community, Your Chamber has worked very hard to be a hub for business education and now more than ever, we will continue to be a resource that you can count on!      

Update Received 4/8 : Our partners at the SBDC have shared today that the U.S. Treasury published updated FAQs on the Paycheck Protection Program (PPP). including Notable guidance. Click Here  to see PPP & EIDL Updates. 

Update Received 4/6 : Our partners at the SBDC have shared NEW critical information they have collected from colleagues and leaders throughout the U.S. concerning the SBA Loan Program. Click Here to see status updates compiled from SBDC colleagues and lenders.        


Important Information About The SBA Disaster Loans:  
  • Loans up to $2,000,000
  • 3.75% fixed interest rate on loans to for-profit companies
  • 2.75% fixed interest rate on loans to non-profits
  •  Up to 30-year term and amortization (determined on case-by-case basis) 
Although these loans can be a lifeline, they will take time to acquire and not all businesses will qualify. The SBA recommends that you take action now to preserve cash and protect your assets. You should also be in contact with your lending institutions to see what programs your bank/credit unions are offering during this time (ie ,delaying payments/interest only payments, etc.,) and vendor payments on account. Do the hard stuff first
 
First look to see if your business meets SBA small business requirement size standards for this assistance. The size standards are by NAICS Code Classifications. The SBA Size Standards are very specific as to how a Small Business is defined
 
Now you can prepare the following documentation, which will be required for application. Although the application is online, you are strongly encouraged to complete the paper form so that you can have the information filled out ahead of time, click here for the forms necessary. You will need to following to complete the required information: 
  • SBA Loan Application (SBA Form 5) (SBA Form 5C).
  • Tax Information Authorization (IRS Form 4506-T) for each owner with minimum 20% ownership interest in the business.
  • Federal personal AND business tax returns for the last 3 years, including all schedules (include personal tax returns for each owner with minimum 20% ownership interest in the business).
  • Personal Financial Statement (SBA Form 413D) for all owners of the business with minimum 20% ownership interest.
  • Schedule of Liabilities listing all fixed debts (SBA Form 2202 may be used).
  •  A current year-to-date profit and loss statement and balance sheet.
  • Monthly sales figures beginning 3 years prior to the disaster and continuing through the most recent month available. (SBA Form 1368). Total figures for each year should reconcile to the sales figures on corresponding tax returns.
  • Written explanation of the amount you are seeking and how it will be used. Describe the loss.
  • To view the On Demand Free Video: Click Here
 
To help you when applying. or to help you in preparing to apply, view the FREE On-Demand Webinar & Presentation Slides from the SBA training webinar that is available to our members, the last bullet point above. The Alabama Small Business Development Network can be accessed by clicking this link. This is a rapidly evolving topic, so please continue to follow us on facebook to ensure you have the most current information! 
 
SBA Economic Injury Disaster Loan
All 67 Counties In Alabama Can Now Apply
                           
As of March, 21st, all 67 counties in Alabama are eligible to apply for the SBA Business Disaster Loans. These loans will provide working capital to small businesses suffering substantial economic injury as a result of COVID-19.
 


 
Prattville Area Chamber of Commerce | 131 North Court Street, Prattville, AL 36067
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