Small businesses facing economic challenges due to COVID-19 may soon find relief. The Governor’s administration has announced its intention to file for statewide eligibility in a federal loan program for small businesses.
The Department of Commerce and Economic opportunity has gathered information from more than 1,000 businesses throughout Illinois to file for relief with the U.S. Small Business Administration.
These low-interest loans would offer up to $2 million in assistance for each eligible small business or non-profit organization. Funds received via these loans could be used to pay fixed debts, payroll accounts, and other bills that cannot be paid because of the pandemic. The interest rate for businesses without credit available elsewhere is 3.75%, and the non-profit rate is 2.75%. According to the Small Business Administration, loans are available with long-term repayments to keep payments affordable, up to a maximum of 30 years.
Once approved by the federal government, business owners and non-profit leaders can apply for the loans here: https://disasterloan.sba.gov/ela/