Economic Injury Disaster Loans and Grants ran out of money appropriated by the CARES Act. The latest recovery bill signed in late December will bring them back. You can now apply on the SBA website HERE.
When the program began, the SBA announced the grants would be up to $10,000. Later the amounts were reduced to $1,000 per employee and then the program ran out of money. Companies who received less than $10,000 can now apply for the balance of the grant up to $10,000. If a company was turned down originally, it can reapply.
EIDL grants were announced after the CARES Act to provide up to $10,000 grants to qualifying businesses that did not have to be repaid. These grants were to provide a bridge to an EIDL loan while the loan application was being processed. EIDL loans up to $50,000 have low, fixed interest rates of 3.75% for profit-seeking companies or 2.75% for non-profits. They carry a repayment period of up to 30 years and have no prepayment penalty.
Some new requirements have been placed on both the grants and the loans. These should be fully known when the SBA publishes the revised program on their website. It is expected the EIDL program will be open to businesses with fewer than 300 employees, located in distressed areas that can show actual economic impact from COVID-19.