If you’re one of the many small businesses being affected by COVID-19, financial help is available through the SBA Economic Injury Disaster Loan. Recently, Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act. The CARES Act provides economic relief for businesses experiencing a temporary revenue loss due to COVID-19.
This guide will walk you through the application process on how to apply for the SBA Economic Injury Disaster Loan. Here you can find a breakdown of the different loan types on our website.
How to apply for the SBA Economic Injury Disaster Loan
Step 1: Visit the SBA Disaster Loan Website.
In your browser, go to covid19relief.sba.gov.
The first step in applying for the SBA Economic Injury Disaster Loan is to self-certify your business. To do this, you must choose ONE option under “Eligible Entity Verification”.
Step 2: Certify Your Business Is Not Engaged with Disqualifying Activities.
You must verify you are not engaged with any disqualifying activities by selecting ALL of the items listed.
Step 3: Provide Business Information.
A few things to note in this section: 1) you cannot use auto-fill features. You must manually type in information. 2) Trade name = DBA name. 3) All sections must be filled out before you can move on to the next step.
Step 4: Complete Business Information.
In this section, you will be asked for your “Cost of Goods Sold” –this can be found on line 42 of your 1040 Schedule C tax form. For the two questions at the bottom of the page “Business Activity” and “Detailed Business Activity”— if none apply, make sure to choose “None of the below”.
Step 5: Provide Business Owner(s) Information
In order to move forward with your application, you must include all owner names. Individual information for each owner will have to be filled out.
For the question “Is Your Business Owned by a Business Entity?” and the section below it, only answer yes and fill out if there is a parent or holding company that owns your business.
Step 6: Complete Additional Information Section.
In the “Additional Information” section make sure to click “yes” or “no” for all 3 statements.
Step 7: ONLY fill out if you had an accountant or any kind of professional service help you fill out your application.
Step 8: Make sure you click the checkbox stating: “I would like to be considered for an advance of up to $10,000.”
This box MUST be checked in order to be considered for an advance. However, anyone applying for this loan should check this box regardless.
Step 9: Provide Bank information so funds may be distributed.
Complete fields below.
Step 10: Certify true and correct information is being submitted by checking the box and click next.
Step 11: Review your application summary for accuracy.
You can edit any section needed at this point.
Step 12: Click to verify you are not a robot and click Submit.
Step 13: Receive confirmation of submitted application and reference number.