The White House announced on September 10, 2021, the expanded COVID-19 Economic Injury Disaster Loan (EIDL) program, giving qualified hoteliers access to up to $2 million per loan.
This is a big step forward and the AHLA appreciates this announcement by the Govt.
AHLA has been working with Biden administration and SBA officials for several months to secure EIDL changes that can benefit hoteliers. AHLA focused on launching advocacy campaigns, workforce development programs, and came up with the Safe Stay initiative which introduced nationwide standardized safety guidelines to provide safe and clean environment to all hotel guests and employees.
Changes to the EIDL program include the following:
- Raising the loan cap to $2 million per loan
- Raising the aggregate loan cap to $10 million
- Simplifying the affiliation rules
- Allowing 24 months of deferred payment
- Allowing use of funds to pay down prior commercial debt and scheduled payments on federal debt
AHLA president and CEO William Chip Rogers said in a statement, “This is a huge step forward for hotels in terms of COVID relief and access to capital. The improved EIDL program is a fantastic opportunity for hoteliers to help
address commercial debt, operating costs and other expenses as travel patterns remain uncertain. The hotel industry thanks the Biden Administration – in particular Administrator Guzman and the SBA – for adjusting the program to help our small business hotel operators who have been significantly impacted by the pandemic.”