BAINBRIDGE – Today, Congressman Dave Joyce (OH-14) issued the following statement applauding the Small Business Administration (SBA) for approving Governor Mike DeWine and Lieutenant Governor Jon Husted’s formal request to qualify for the Economic Injury Disaster Loan program:
“Small businesses are the lifeline of the Buckeye economy,” said Rep. Joyce. “As of 2018, over 99% of all Ohio businesses were small businesses and they employed 2.2 million Ohioans. The reality is that the COVID-19 outbreak is taking a big toll on these businesses, those who own them and the workers they employ. While we continue to ensure the health and safety of Ohioans during this unprecedented time, we must also protect our small businesses and ensure they have the support they need. I applaud the SBA for approving the state of Ohio’s application for the Economic Injury Disaster Loan program so that we can provide these small businesses with the federal resources necessary to face the economic challenges ahead and keep jobs available for their workers.”
On March 18, 2020, Governor Mike DeWine and Lieutenant Governor Jon Husted sent a letter and application to the SBA to qualify the state of Ohio for the Economic Injury Disaster Loan program. Now that the application is approved, this federal program will enable small businesses and non-profits throughout Ohio impacted by the COVID-19 outbreak to apply for low-interest loans up to $2 million to help overcome the temporary loss of revenue they are experiencing. These loans may be used by Ohio small business owners and non-profits to pay fixed debts, payroll, accounts payable and other bills that cannot be paid due to the impact the COVID-19 outbreak has had on them. The interest rate is 3.75% for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible. The interest rate for non-profits is 2.75%.
Eligible entities can apply here.
The $8.3 billion supplemental appropriations bill, which Rep. Joyce voted for and was signed into law by the President on March 6, 2020, allows for $1 billion in subsidized “Small Business Disaster Loans” for small businesses adversely impacted by coronavirus. It is estimated that this funding will allow the SBA – which also received $20 million to administer the loans – to provide an estimated $7 billion in loans to small businesses impacted by the COVID-19 outbreak.