SBA Loans, Pool Rooms and Small Business

[TATE]

Besides PPP, I just received a disaster loan offer from the SBA. It was a pretty substantial amount, 30 year, 3.75% interest, monthly payments start 12 months after closing.

I'm not doing it but if you know of anybody who has a pool room, this might help keep them afloat until we rebound.

 

[Cron]

I'm curious. If the loan closed today, and which ever disaster lasted for 13 months, would repayment be expected during the causing disaster?

 

[TATE]

I'm curious. If the loan closed today, and which ever disaster lasted for 13 months, would repayment be expected during the causing disaster?

Yes, in monthly installments after 12 months amortized over 30 years. A $150,000 loan would have a monthly payment of around $700. It's a way of maximizing cash flow but it's still a loan, similar to a home mortgage.