With less than three weeks left in 2021, you still have the option of securing a portion of the remaining $ 100 billion in Small Business Administration (SBA) loans and grants. December 31 is the last day applications will be accepted for the COVID-19 Economic Disaster (EIDL) Loan and Targeted EIDL Advance. And requests for the additional targeted advance must be submitted by December 10, 2021.

$ 100 billion in SBA loans and grants STILL available for small businesses

One of the advantages of applying for government loans is the favorable rate. As a small business with less than 500 employees, you can apply for an EIDL loan of up to $ 2 million. The loan has an interest rate of 3.75% if you are a for-profit business. And if you’re a nonprofit, the rate drops to 2.75%. What makes it even more attractive is that these are 30-year loans.

The SBA further encourages small businesses to apply by relaxing the EIDL Guidelines so that more of the funds can be distributed.

It begins by accepting EIDL loan and targeted advance requests until December 31, continuing the process after that date until funds run out. This means that if there are funds available and you have applied, you have a chance to get the loan well past the deadline of December 31st.

In addition, as a borrower, you have up to two years after the loan date to request increases up to the maximum allowable loan amount. This can continue until the funds are depleted or the two years have passed.

As for requests for additional targeted advance, they will also be accepted until December 31. However, due to legal requirements, the SBA says it may not be able to process some Additional targeted advance requests if submitted by the December 31 deadline. After the December 31 deadline, the SBA cannot continue to process these requests.

Finally, if the COVID EIDL requests are received by December 31, the SBA will accept and consider the reconsideration and appeal requests. The review / appeal must be received within the time limits set out in the regulations.

EIDL targeted advance and additional advances

EIDL’s Targeted Advance and Supplemental Advance Grants provide amounts of up to $ 10,000 that do not have to be paid. As a business, you must demonstrate a 30% decrease in your income during an eight week period starting March 2, 2020. Beyond this requirement, you cannot have more than 300 employees and you must use the funds for working capital and other operating expenses. Even though this small business grant doesn’t have large sums of money, it can help very small businesses face financial challenges.

Apply, you have nothing to lose

The great thing about the EIDL program is that you can apply even if you have received funds through the Paycheck Protection Program, Restaurant Revitalization Fund, or the Shuttered Venue Operators Grant.

Whether it’s a low rate loan with a 30-year term or grants you don’t have to pay back, it doesn’t hurt to apply. But time is running out, so do it now.

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