Express Bridge Loan (EBL) Pilot Program Extended by the SBA

According to the Federal Register, vol 85, No. 63 published on April 1, 2020 under Rules and Regulations, the SBA has modified the eligibility and the loan approval deadline and extended this pilot program that was introduced as a pilot program on Oct 16, 2017.  After the declaration of a national emergency by President Trump on March 13, 2020 that adversely affected all states including DC, the SBA expanded the EBL program eligibility to all businesses nationwide adversely impacted by COVID-19.  The deadline for approval for this loan is extended from Sept 30, 2020 to March 13, 2021.  This 6 month extension of the deadline will allow small businesses that may experience delayed effects from the COVID-19 emergency.  The EBL pilot program authorizes SBA express lenders to provide a streamlined and expedited SBA-guaranteed bridge loan financing on an emergency basis for up to $25,000 for the communities affected by Presidentially-declared disasters.  This is a bridge loan because businesses apply and wait for long-term financing through the SBA's direct Disaster Loan program if they are eligible.  SBA express lenders only make EBL loans to eligible businesses with an established banking relationship on or before the date of the disaster or emergency declaration.  Please visit www.sba.gov for more detailed information on EBL loans. Please send questions to [email protected]