WASHINGTON — The U.S. Small Business Administration (SBA) recently announced updated guidance for small businesses that have already applied for the Targeted Economic Injury Disaster Loan (EIDL) Advance program, received a decline, and are interested in applying for reevaluation.
This opportunity is for small businesses that were declined for the Targeted Advance program and can provide additional information to demonstrate their eligibility.
Those interested in being considered for reevaluation can submit their reevaluation requests until Feb. 15. The SBA notes that it is no longer accepting new Targeted EIDL Advance applications.
The Targeted EIDL Advance program is a COVID-19 relief measure that is designed to provide eligible applicants funds of up to $10,000 that do not have to be repaid. In approximately the last year, the Targeted Advance program has provided approximately $5 billion to nearly 600,000 businesses, especially for hardest-hit small businesses in underserved communities.
For small business owners who apply for reevaluation, it is recommended they confirm they meet the following eligibility criteria:
- Located in a low-income community. To help applicants determine if they are in a low-income community as defined in section 45D(e) of the Internal Revenue Code, a mapping tool (located at sbaeidl.policymap.com) is available. The business address must be in a low-income community to qualify. Applicants whose businesses have re-located to a low-income community since submitting their original application must submit proof of relocation, such as a lease agreement, utility bill, or mortgage with the name of the business.
- Demonstrated reduction in revenue. Eligible applicants must demonstrate a more than 30 percent reduction in revenue during an eight-week period beginning on March 2, 2020, or later. If an applicant meets the low-income community criteria, they will be asked to provide gross monthly revenue (all forms of combined monthly earnings received, such as profits or salaries) to confirm the 30 percent reduction.
- Have 300 or fewer employees.
For more information, visit www.sba.gov/eidl. If your business meets the eligibility criteria and your original application was declined, you may request Targeted EIDL Advance reevaluation by emailing [email protected] (it is requested that you include documentation that demonstrates your eligibility for the Targeted EIDL Advance program).
Have a question or comment? E-mail our editor Dave Davis at [email protected].