Agriculture Businesses Eligible for SBA’s Economic Injury Disaster Loan
The Small Business Administration began accepting new applications Monday for the Economic Injury Disaster Loan, a $10,000 forgivable loan, for agriculture businesses only. This includes farmers.
Agriculture was originally left out of those businesses eligible for the EIDL, but American Farm Bureau Federation Executive Vice President Dale Moore says Congress stepped in to fix that issue when the original program ran out of money.
“So Congress came back and said, ‘Here’s more money and, by the way, here are some restrictions. Agriculture and rural enterprises are eligible, and we want to make sure that the Farm Credit system and independent community banks have an opportunity to get their feet inside the door.’ So, some agricultural enterprises that applied before, and their loan was rejected because they were ag enterprises are going through. They don’t have to resubmit.”
Moore encourages producers to work with their local banker to help guide them through the process.
Another round of coronavirus financial aid is being considered by Congress.
“There’s some speculation this will be $450-$650 billion,” said Moore. “So, if we play our cards right, we’ll have more monies to talk about here in the not too distant future.”