See actual SBA EIDL Promissory note attached

[Jared Wilson]

I'm trying to decide about accepting a $20,000 disaster loan from the SBA.  But it is making the hair on the back of my neck stand up.

The loan payment is really soft at 3.75% over 30 years, but it has a lot of provisions whereby I can't:

- use the loan proceeds except for "working capital,"

- can't distribute assets or make loans to myself or to any other company I have an interest in,

- have to keep detailed records on use of loan proceeds and all other income and expenses, and

- many other onerous provisions.

Then it has civil and criminal penalties if I violate any of the numerous "hard to understand, let alone follow" loan provisions throughout the document.

Please see the actual promissory note and loan authorization packet attached here and please let me know what you guys think about this:

https://www.dropbox.com/s/0p7iwe68c1f4qd6/SBA%20EIDL%20Disaster%20loan%20Promissory%20note%20and%20loan%20authorization.pdf?dl=0

Thanks

[Jared Wilson]

@Mike Cumbie

Yeah it's almost like they intentionally designed the the loan program to snatch people into their clutches.

I'm glad you got a chance to read it.