Coronavirus Advisory: Local SBA lenders are here to help small businesses

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As an authorized Small Business Administration (SBA) lender, Pelican State Credit Union’s Business Services team is actively following the development of the multiple Disaster Relief Programs being offered by the SBA and are happy to help answer any questions small business owners may have.

Currently, the Disaster Relief Programs offered by the SBA include:

  • Paycheck Protection Program
  • Economic Injury and Disaster Loans and Loan Advance
  • SBA Debt Relief
  • SBA Express Bridge Loans

The Paycheck Protection Program (PPP) is a loan designed to provide a direct incentive for small businesses to keep their workers on the payroll. The SBA will forgive loans if all employees are kept on the payroll for 8 weeks and the money is used for payroll, rent, mortgage interest, or utilities.

If you are interested in applying for a PPP loan, Pelican encourages you to contact an authorized SBA lender as soon as possible to begin the process.

The Economic Injury and Disaster Loans and Loan Advance (EIDL) is designed to provide small businesses with working capital up to $2 million that can provide vital economic support to help overcome the temporary loss of revenue. Funds will be made available within 3 days of a successful application, and this loan advance will not have to be repaid.

Small business owners can apply for the EIDL loan through SBA.gov.

The SBA Debt Relief program will provide a reprieve to small businesses as they overcome the challenges created by this health crisis. Under this program:

  • The SBA will also pay the principal and interest of new 7(a) loans issued prior to September 27, 2020.
  • The SBA will pay the principal and interest of current 7(a) loans for a period of 6 months.

The SBA Express Bridge Loan allows small businesses who currently have a business relationship with an SBA Express Lender to access up to $25,000 with less paperwork. These loans can provide vital economic support to small businesses to help overcome the temporary loss of revenue they are experiencing and can be term loans or used to bridge the gap while applying for a direct SBA EIDL loan.

If your small business has an urgent need for cash while waiting for a decision on the EIDL loan, Pelican encourages you to contact an authorized SBA lender for assistance in applying for an SBA Express Disaster Bridge Loan.

Pelican’s Business Services team, which includes lending, deposit accounts, and merchant services, is happy to assist you via phone or email:

Pelican is also collecting resources from other organizations, such as Louisiana Economic Development, and compiling them on their website. Please click here to browse these resources.

*Not all businesses will qualify for the programs and loans listed. Restrictions apply. Contact a Pelican Business Services team member for details.

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