NEW YORK, Dec. 16, 2021 /PRNewswire/ -- Fintech firm Iron Capital Equities, which owns web finance sites like www.lineofcreditdepot.com, reports seeing a pileup of EIDL small business applicants that are seeing little to no response from the SBA regarding funding. With the application deadline of December 31st quickly approaching, many businesses are vying for these relief funds.
"90% (9 out of 10) of our 400 client applicants are still in limbo, with no update regarding the status of the funds," states co-founder Matthew Elling. "The short-term economic outlook from small businesses is dim, so these funds are highly sought after'. Elling expands, 'Even though we are a financial technology company, we still 'talk' with our customers...we understand their struggles in a post COVID economic environment, we have provided them with advice on the SBA assistance like EIDL and the 2 PPP rounds for payroll and business expense assistance during and after the government-imposed lockdowns."
The EIDL (Economic Industry Disaster Loan) is a taxpayer funded product the SBA issues to businesses affected by natural disasters or government defined emergency declarations. They aren't grants, but need to be paid back by the business owner, 30-year terms at 3.75% annual interest.
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The emergency business COVID-19 EIDL, began rolling out in April 2020 after the government-imposed lockdowns, maxing out at $150,000 and then increased to $500,000 in Spring 2021 and now have hit a maximum amount of $2,000,000 per business since this fall.
Lineofcreditdepot.com is a fintech platform that allows small business owners to apply to many banks at once and matches them with real bank lines of credit.