Birmingham EIDL Disaster Loans and SBA Grants in Alabama

Birmingham AL EIDL Disaster Loans and SBA Grants in Alabama

Birmingham, Alabama is the #116 ranked city based on population. 207,235 residents live in Birmingham.

Birmingham, Alabama SBA Loans are a type of loan issued by the Small Business Administration (SBA). It provides either term loans or working capital to qualified small businesses through banks and other private lenders.

Birmingham, Alabama was considered a disaster area due to COVID, which allowed Birmingham small business owners and those Alabama residents that qualified to apply.

What are Birmingham SBA Disaster Loans (EIDL and PPP)?

Birmingham, AL, and all other major cities have multiple SBA loan programs, including the popular Economic Injury Disaster Loan (EIDL) and the Paycheck Protection Program (PPP). 

In Birmingham, AL news, the U.S. Small Business Administration (SBA) announced that the deadline to apply for the Alabama Economic Injury Disaster Loan (EIDL) program for the COVID-19 Pandemic AL disaster declaration has been extended to December 31, 2021.

The Birmingham, Alabama Paycheck Protection Program (PPP) deadline has already expired.

SBA loans are a type of loan given by the US government that must be paid back over a period of time. This is a low-interest debt that the Small Business Administration guarantees. This means that if the borrower defaults on their payment, the federal government will cover it to protect against loss.

These loans are popularly used in business expansion and provide an easy way for a company to receive a loan when they have trouble borrowing from banks or traditional lenders.

What are Birmingham SBA Grants?

Birmingham, Alabama SBA grants, unlike loans, do not have to be repaid with interest fees. These grants come from several sources, including the US Department of Education and state governments / agencies that run specific grant programs designed to give employers money to assist with training and education programs. 

The SBA loans are also used to recover from financial losses due to COVID and other natural disasters, such as floods, hurricanes, tornados, storms, fires, earthquakes, and other forms of natural disasters in Birmingham, Alabama.

Grants are often awarded to help Birmingham, Alabama small businesses offset the cost of employee training, or they can be used for start-up costs, such as new technology and equipment.

How Do SBA Disaster Loans Work in Birmingham, AL?

Birmingham, Alabama banks and private lenders provide SBA loans to small businesses that may not qualify for traditional loans. The Small Business Administration guarantees these loans against default, helping the business obtain financing from a place they couldn’t get it before.

As the loan is guaranteed, the interest rates tend to be lower as well as monthly payments. This makes SBA loans very popular with those who need funding fast but don’t want an expensive payment plan.

In Birmingham, Alabama, many businesses have received this SBA loan help and were able to grow their companies thanks to this assistance from the SBA in AL.

How Many Birmingham SBA Disaster Loans Can You Have?

Birmingham, Alabama and Federal law restricts the number of SBA loans that can be issued. This is to help promote competition in the small business lending market and prevent large companies from swallowing up smaller ones.

With some exceptions, the limit for how many SBA 7(a) loans a company can have depends on how much money it has already borrowed.

How Long Do Birmingham SBA Loans Take to Process?

The Birmingham, Alabama SBA loan process from application to final approval can take anywhere from three weeks to several months. This is because Birmingham city lenders need to make sure everything is in order before committing this size.

While every Birmingham, Alabama company’s situation is different, it typically takes between 7 to 10 days for a company to qualify and be approved for an SBA loan. It is reported that, on average, it takes approximately 9 more days for the funds to go through once you are approved.

How to Apply for Birmingham EIDL, PPP, or SBA Loans?

In the past, a business owner would have to go through a lengthy application process and meet certain requirements before being approved for an SBA loan. Now, companies can apply online, in some cases taking less than 10 minutes.

Once you’re approved, it takes about 2 weeks for lenders to fund your account since this is how long it takes for the company’s underwriting department to review everything once they receive all of the necessary documents about you and your Birmingham, Alabama business.

You’ll also need to allow time for any additional documentation that may come up during the approval process, which can add another week or more to this period.

How to Qualify for Grants for a Small Business in Birmingham?

Grants are given to companies through both state and federal agencies for several reasons, and based on fund availability. Most commonly, they are employed in matching grants where the company must provide some funding themselves.

Birmingham, Alabama’s small businesses qualify based on their revenue, employees, or even employees that work within specific minority groups or low-income areas.

How to Apply for Small Business Grants in Birmingham?

A company can apply for SBA grants by filling out an application for Birmingham, Alabama. In addition, the US government has a listing of all their available grants, including those provided through the SBA.

You’ll need to compose a proposal that explains why you qualify for the money and how much will be used to assist with your business goals. This proposal can include written proposals, presentations, or other presentation material depending on what requires.

The total amount you receive depends on how much money is available for distribution each year, and there may be different rules depending on if it’s federal or state funding.

Nearest Birmingham, AL Local SBA Office Address and Contact Information

In Alabama, there are two offices:
Birmingham, AL
Mobile, AL

Main SBA Assistance Office:
Birmingham, Alabama SBA Office

Address:
2 North 20th Street Suite #325
Birmingham, AL

Alabama SBA Telephone and Email Contact Information:

Phone Number:
205-290-7101

Mobile Number:
251-544-7401

Website:
https://www.sba.gov/offices/district/al/birmingham

Birmingham – Alabama District Office

The Birmingham District Office serves all 67 counties located in Alabama. The Birmingham District Office is located at 2 North 20th Street in Suite 325, Birmingham. Hours are from 8:00 AM to 4:30 PM, Monday through Friday. There are currently 11 employees on staff with SBA in Birmingham and Mobile.

Mobile, Alabama SBA Office 

1141 Montlimar Drive Suite 1007
Mobile, AL
251-544-7401

Birmingham, AL SBA Summary and Conclusion

Birmingham, Alabama SBA loans and grants can be a great resource for any company looking to expand its operations, and many Birmingham, Alabama businesses have benefited from this type of SBA financing. Do you think your small business could benefit from an SBA loan? Did you already apply for one? Or, were you turned down for a PPP, EIDL, or other SBA disaster loan in Birmingham, Alabama?

Share your thoughts in the comment section below.

Birmingham, Alabama Small Business Help: Get Loan Assistance for Your Business in Birmingham

Was Your Birmingham SBA Disaster Loan Denied?

Has your Birmingham SBA disaster EIDL loan been denied?

We can assist you in filing for an SBA EIDL loan reconsideration appeal for your business that was affected by COVID in Birmingham, Alabama.

Schedule Your Free Disaster Loan Consultation to see if we may be able to help your Birmingham, AL business with the SBA Loan Reconsideration Process.

Need an Increase on Your Birmingham SBA Disaster Loan?

Did you already receive a Birmingham SBA EIDL disaster loan for your business?

We can assist your Birmingham, AL business in requesting additional SBA EIDL loan funds through the increase request process.

Schedule Your Free Disaster Loan Consultation to see if we may be able to help your Birmingham, AL business with the SBA Increase Request Process.

Cover Image Credit: 123RF.com / Milkos, IgorBondarenko / Disaster Loan Advisors.

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