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COVID-19: Small Business Resources

Small businesses are the backbone of our economy. As we face this time of uncertainty, one of our top priorities needs to be equipping job creators with the resources needed to maintain maximal employment. I am continuing to work with our local officials and the Trump administration so that Main Street has the support needed to survive and recover.

Economic Injury Disaster Loan (EIDL) Program

Texas small businesses and nonprofits may be eligible for the Economic Injury Disaster Loan (EIDL) Program administered by the Small Business Administration. This program provides low interest, long term loans to qualifying entities that have been negatively impacted by the corona virus. To view a downloadable one-pager, please click HERE.

Who is eligible?

In general, small businesses, independent contractors, and certain non-profits with fewer than 500 employee are eligible to apply to the EIDL program. There are certain exceptions for certain industries that would allow them to have more than 500 employees, so you can check your eligibility at

Where can you get this loan?

You can apply for this loan directly through the SBA. You can do this online at, in-person at your local SBA office, which you can find at, or by mail to the US Small Business Administration Processing and Disbursement Center in Ft. Worth, Texas.

What can you use the loan for?

Loans can be used to pay fixed debts, make payroll, or for other accounts payable because of the corona virus.

How much can you borrow and what are the terms?

These loans can be made up to $2 million dollars with terms up to 30-years. The interest rates for small businesses are 3.75% and 2.75% for non-profits.

What will I need to apply?

You will need to complete a two-page application (SBA Form 5), a tax authorization document (IRS Form 4506T), and a personal finance statement (SBA Form 413). More information might be requested for more complex businesses or those seeking a higher loan amount.

How long will it be from the time I apply to when I receive my loan?

The current average processing time at the SBA is 2-3 weeks to get a loan decision. Once the loan is approved, the loan disbursement will be made to the small business owner within 5 days.

Can I get an advance on my Economic Injury Development Loan?

Yes. Businesses can apply for $10,000-dollar loan advance to provide economic immediate relief for those who are currently experiencing a temporary loss of revenue. Funds will be made available within three days of a successful application, and this loan advance will not have to be repaid.

Paycheck Protection Program

Businesses affected by COVID-19 can apply for 100% federally backed small business loans from their local financial institutions. If a business maintains payroll for an 8-week period throughout the pandemic, they are eligible to have a portion of their loan forgiven. To view a downloadable one-pager, please click HERE.

Who is eligible?

Businesses that employ 500 employees or fewer, or if your business is in an industry that has an employee-based size standard through the Small Business Administration (SBA) that is higher than 500 employees are eligible. 501(c)(3) nonprofits, including religious organizations, 501(c)(19) veteran organizations, sole proprietors, independent contractors, gig economy workers, and self-employed individuals are also eligible for the program.

Where can you get this loan?

Any existing SBA lenders and any lenders that are brought into the program through the Treasury. You should talk to your preferred financial lender to see if they qualify. Congress has authorized 7(a) certified lenders to process, close and service loans without SBA approval to streamline the process to get money into your business as soon as possible. Borrowers can view the application here.

What can you use the loan for?

This loan is intended to cover 8 weeks of payroll expenses and any additional amounts for making payments towards debt obligations, including group health care benefits, employee salaries, interest on mortgage obligations, rent, utilities and any other debt obligations incurred before February 15, 2020.

How much can you borrow and what are the terms?

Small businesses are eligible to borrow 250 percent of their average monthly payroll expenses, up to a total of $10 million for an 8-week period. This 8-week period may be applied to any time frame between February 15, 2020 and June 30, 2020. The loan carries an interest rate of 1% and is due in 2 years.

Is there loan forgiveness in this program?

Yes. The purpose of the Paycheck Protection Program is to help businesses retain employees at their current base pay. If you keep all of your employees on payroll during the covered period, then a portion of the loan will be forgiven. If you do lay off employees, the forgiveness will be reduced by the percent decrease in the number of employees. If you have already laid off some employees, you can still be forgiven for the full amount of your payroll cost if you rehire your employees by June 30, 2020. 

Can the entire loan be forgiven?  

Not necessarily. 8-weeks of payroll costs, mortgage interest, rent and utilities can be forgiven. Payroll costs include employee salaries (up to an annual rate of pay of $100,000), hourly wages and cash tips, paid sick or medical leave, and group health insurance premiums. If the full principal of the loan is forgiven, the borrower is not responsible for the interest accrued during the 8-week period. The remainder of the loan that is not forgiven will operate according to the loan terms agreed upon by you and the lender.

When is the loan forgiven?

The loan is forgiven at the end of the 8-week period after you take out the loan. Borrowers will work with lenders to verify covered expenses and the proper amount of forgiveness.

Express Loans

  • Express loans are available to small businesses that meet the SBA size thresholds, which is generally fewer than 500 employees.

  • Apply through your local banks or credit unions who are SBA-certified lenders.

  • Express loans provide up to $1 million dollars for businesses to access quickly.

  • There is a turnaround time of 36 hours for approval or denial of a completed application.

  • Can be used to cover accounts payable, purchasing inventory or other operational expenses.

  • Loans have terms up to 7 years and have interest rates between 4.5% to 6.5%.

Double Dipping Provisions

  • You may receive an EIDL Loan and the Paycheck Protection loan as long as the basis for the loans/costs being paid with each are different (no "double-dipping").

  • A loan under the Paycheck Protection Program makes the borrower ineligible for the Employee Retention Tax Credit.

  • You can receive a bridge loan from a local government and still be eligible for either of these loan programs.