The Economic Injury Disaster Loan (EIDL) program offered by the Small Business Administration (SBA) provides crucial financial assistance to small businesses, agricultural cooperatives, and nonprofit organizations impacted by declared disasters.
Eligible entities suffering substantial economic injury, unable to meet financial obligations, can apply. EIDLs offer up to $2 million in working capital, tailored to cover operational expenses like rent, utilities, and debt payments. Terms include deferred payments for the first year, no interest accrual initially, and a capped interest rate of 4%. Collateral is required for loans over $25,000, typically in the form of real estate. Application involves an online process with SBA assessing eligibility and estimating damage through an inspector's evaluation.