Skip to content


Lending & Borrowing in the Age of COVID-19: Is it Harder to Get a Government-Backed Business Loan Right Now?

It is the question we’re asked almost daily: Is it harder to get a government-backed business loan right now?

While all lenders are proceeding with caution during the pandemic, we are not necessarily seeing fewer loan requests. We’re just asking a lot more questions during the application process, including:

  • -What are the effects of the pandemic on your industry?
  • -How has the pandemic impacted your market in the long term?
  • -What safety precautions and physical changes to your business do you require to adapt?
  • -Have you received any PPP or EIDL loans? Have you applied for loan forgiveness?
  • -What have you done to move your business forward?
  • -Have you incurred significant expenses?

Without being able to rely on historic financials and tax returns to demonstrate a business owner’s track record, the answers to these questions are critical for a loan application. And being able to effectively communicate resilience is key.

That’s why it is so important to proactively address pandemic-related questions before they’re even asked. We’re working with borrowers to assess their current situation, convey to lenders how they’re going to do business going forward, and describe what they’re doing to stay afloat.

Along with Seedcopa’s usual checklist of application items – tax returns, personal financial statements, etc. – your COVID-19 statement is a top priority.

Business owners who are taking a more passive approach to loan applications may struggle in this environment. Figuring out how to reinvent your business – and demonstrating that you are a part of the solution – is key.



Seedcopa logo

For almost forty years, Seedcopa + SeedcoDE has helped businesses get the money they need to start, grow and expand. We are proud that the loan programs we work with promote economic development.

Together with economic development partners throughout Pennsylvania and Delaware, we help to grow local businesses, create and retain jobs and stimulate local communities.

Our team has over 75 years of combined government lending experience and a dedication to excellent customer service. After our initial assessment of your project, our commitment is to get you approved and closed.

Back To Top