Paterson EIDL Disaster Loans and SBA Grants in New Jersey

Paterson NJ EIDL Disaster Loans and SBA Grants in New Jersey

Paterson, New Jersey is the #192 ranked city based on population. 144,511 residents live in Paterson.

Paterson, New Jersey 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.

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

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

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

The Paterson, New Jersey 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 Paterson SBA Grants?

Paterson, New Jersey 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 Paterson, New Jersey.

Grants are often awarded to help Paterson, New Jersey 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 Paterson, NJ?

Paterson, New Jersey 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 Paterson, New Jersey, many businesses have received this SBA loan help and were able to grow their companies thanks to this assistance from the SBA in NJ.

How Many Paterson SBA Disaster Loans Can You Have?

Paterson, New Jersey 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 Paterson SBA Loans Take to Process?

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

While every Paterson, New Jersey 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 Paterson 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 Paterson, New Jersey 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 Paterson?

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.

Paterson, New Jersey’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 Paterson?

A company can apply for SBA grants by filling out an application for Paterson, New Jersey. 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 Paterson, NJ Local SBA Office Address and Contact Information

In New Jersey, there are one offices:
Newark, NJ

Main SBA Assistance Office:
New Jersey District Office

Address:
Two Gateway Center Suite 1002
Newark, NJ

New Jersey SBA Telephone and Email Contact Information:

Phone Number:
973-645-2434

Website:
https://www.sba.gov/offices/district/nj/newark

New Jersey District Office

The New Jersey district office is responsible for the delivery of SBA’s programs and services to 21 counties in New Jersey.

Paterson, NJ SBA Summary and Conclusion

Paterson, New Jersey SBA loans and grants can be a great resource for any company looking to expand its operations, and many Paterson, New Jersey 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 Paterson, New Jersey?

Share your thoughts in the comment section below.

Paterson, New Jersey Small Business Help: Get Loan Assistance for Your Business in Paterson

Was Your Paterson SBA Disaster Loan Denied?

Has your Paterson 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 Paterson, New Jersey.

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

Need an Increase on Your Paterson SBA Disaster Loan?

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

We can assist your Paterson, NJ 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 Paterson, NJ business with the SBA Increase Request Process.

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

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