As a small entrepreneur, I was excited to find out about the $2.2 trillion Coronavirus Help, Relief, and Economic Security Act that uses low-interest loans to firms impacted by the COVID-19 pandemic. as I check out through the information and started to use, it became clear that this legislation– while well-intentioned– might not be enough to assist many SMBs and startups.
Here’s a fast recap of my experience.
Emergency Situation Economic Injury Grants and Economic Injury Catastrophe Loans
: You require to act promptly. Emergency Economic Injury Grant and Economic Injury Disaster Loan programs included in the CARES Act function on a first-come, first-served basis, and are funded from a minimal pool of resources.
I began my company’s application procedure by sending our EIDL and EEIG applications through the SBA site. This was simple, if tiresome. It took about 2 hours to complete the required online kinds and about 2 seconds to click the EEIG checkbox. Submission was seamless, however I have not received any more communication from the SBA given that completing my application, which is a bit complicated– EEIG funds are supposed to be distributed within 3-5 days of the submission date.
I know there’s been a huge volume of submissions recently and this must be remarkably difficult to deal with. I anticipate any email correspondence or updates from the SBA that may provide me– and other applicants– an upgraded quote of the expected dispersal timeline.
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.