Relief Loans Available for Hotels and Small Businesses
Congress has approved $350 Billion as part of the CARES Act for the Small Business Administration (SBA) to lend to small businesses during the COVID-19 crisis.
MBA Capital Funding's Capital Markets Advisor, Lynda Drehmer and the MBA Capital Team is deeply experienced in working with the SBA and have deeply researched the latest information available on the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL).
The SBA 7(a) Paycheck Protection Program (PPP) Relief Loan provides cash-flow assistance to all hoteliers and small business owners affected by the COVID-19 pandemic. Loan amounts are equal to 2.5 months of average payroll costs and are fully or partially forgivable. For help applying for the PPP loan, go to https://www.hotelloanhub.com/
The Economic Injury Disaster Loan (EIDL) is more flexible than the PPP but is not fogiveable, except for a $10,000 grant.
For Help Applying for EIDL Email Lynda@mbacapitalfunding.com
Key Facts About the EIDL
Loan Amount is up to $2,000,000. The final amount is determined by the SBA on a case by case basis.
A $10,000 grant is fully forgivable for eligible applicants, even if loan application is ultimately declined.
Small business with less than 500 employees are eligible.
Loan proceeds can be used for payroll, fixed debt, accounts payable, rent, mortgage interest, utilities, and other operational expenses.
The EIDL is non-recourse for loan amounts under $200,000 but a personal guarantee is required for all loans over $200,000.
Collateral is required for loans over $25,000.
Loan terms are 3.75% interest and up to 30 years repayment. There is no pre-payment penalty.
Why Apply for the EIDL through MBA Capital Funding?
MBA Capital Funding has over 20 years experience arranging financing for hotels and other real estate and non-real estate businesses. We are staying up-to-date and informed on all things CARES Act and relating to the Economic Injury Disaster Loan (EIDL).
Business owners can apply for the EIDL directly through the SBA. However, any application submitted with incorrect or incomplete information or documents will be sent back to the applicant for revision, and meanwhile be put at the back of the que of other pending applications, wasting precious time.
MBA Capital Funding's consulting services and loan packaging is available for $2,500 for hoteliers who would like the extra assistance in applying for the loan in order to insure processing by the SBA with complete information and no delay.
To Get Started Email:
“I really enjoyed working with Lynda. She’s very easy to work with and was all over it if I needed something. Can’t wait for the next deal.”
--Jody, Closing Specialist for a national SBA hospitality lender