EIDL Applicants Still Waiting for Funds as Deadline Approaches
There is a major pileup of applicants waiting to hear back from the SBA regarding EIDL applications, according to Iron Capital Equities, a fintech firm who owns websites that help businesses through the EIDL application process. According to a press release by the company, many applicants who have not yet received funding seem to believe they’ve been ghosted by the SBA.
The EIDL deadline to file an application is December 31.
“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 insisted that he is in constant contact with his customers, and says his company is doing everything they can to service these clients who are playing the waiting game.
“Even though we are a financial technology company, we still ‘talk’ with our customers,” Elling continued. “We understand their struggles in a post COVID economic environment, we have provided them with advice on the SBA assistance like EIDL and the two PPP rounds for payroll and business expense assistance during and after the government-imposed lockdowns.”
EIDL loans were a beacon of hope for many businesses struggling to survive in the pandemic. This type of government funding isn’t a grant, and needs to be paid back by the merchant at a term of 30 years at 3.75% annual interest.Last modified: December 16, 2021
Adam Zaki was a Reporter at deBanked.