- Mapping tool developed for the U.S. Small Business Administration helps businesses determine whether they are located in a low-income community
- This designation is required to qualify for grants under the Targeted EIDL Advance Program
- Applicants must also meet other criteria to qualify for aid
Summary by Dirk Langeveld
The U.S. Small Business Administration has developed a mapping tool to help businesses determine if they are located in a low-income community, and thereby eligible for assistance under the Targeted EIDL Advance program.
The program provides businesses in low-income communities with grants of up to $10,000. Low-income communities are defined by section 45D(3) of the Internal Revenue Code.
The mapping tool simplifies the process by allowing users to plug in an address, ZIP code, or latitude and longitude to determine if a business is located in a low-income area. These areas are shaded purple on the map, and further information is provided on the underlying determining factors such as poverty rate and median family income.
The SBA says an application for the program is unnecessary, as it will be reaching out to businesses that may qualify. The program is open to previous applicants to the EIDL Advance program who received only partial funding or were turned down due to lack of funds.
The SBA is first reaching out to businesses that received partial EIDL Advance funds, and will approve additional funding if they are located in a low-income community and can demonstrate a revenue loss of at least 30 percent during an eight-week period beginning on March 2, 2020. It will next contact businesses that were unable to receive funding who meet the above criteria and have 300 or fewer employees; agricultural enterprises are not eligible.
The EIDL Advance grant program provided businesses with $1,000 per employee up to $10,000, but is no longer taking submissions. The Economic Injury Disaster Loan program, which was originally set up to help businesses cover short-term losses brought on by disasters but expanded its scope in response to the COVID-19 pandemic, will continue to accept loan applications through Dec. 31.
