Sen. Sue Rezin (R-Elmhurst) | Rezin's Senate website
Sen. Sue Rezin (R-Elmhurst) | Rezin's Senate website
Illinois received its economic injury declaration and now small businesses across the state can apply for low-interest rate loans from the U.S. Small Business Administration.
State Sen. Sue Rezin (R-38th District) said in a press release on March 20 the state’s declaration was received and small businesses can now get much-needed economic relief due to the coronavirus.
As small businesses across Illinois continue to deal with the ongoing impacts of COVID-19, new measures have been implemented to provide relief. With the state receiving its statewide economic injury declaration, small businesses may now be eligible for low-interest loans up to $2 million per business.
In addition, advisers at the Illinois Small Business Development Centers are available remotely to assist small businesses in applying for the loans. Small businesses are also encouraged to fill out a form by the Illinois Department of Commerce and Economic Opportunity. The form will help the agency to understand companies’ needs and also include the company on their information distribution list.
President Donald Trump announced in mid-March that the U.S. Small Business Administration would offer economic disaster loans for small businesses due to the coronavirus.
“The president took bold, decisive action to make our 30 million small businesses more resilient to coronavirus-related economic disruptions," said SBA Administrator Jovita Carranza after Trump’s announcement. “Small businesses are vital economic engines in every community and state, and they have helped make our economy the strongest in the world. Our agency will work directly with state governors to provide targeted, low-interest disaster recovery loans to small businesses that have been severely impacted by the situation.”
The SBA loans can be used to pay fixed debts, meet payroll, for accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses and for nonprofits is 2.75%.
Loan repayments can be up to a maximum of 30 years to keep payments affordable.
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