As gym owners are forced to close their doors around the United States, many are turning to the Economic Injury Disaster Loan (EIDL) and Paycheck Protection Program (PPP) to help their businesses through this challenging time. 

As small businesses, gym owners are eligible to apply for both programs but there are important differences and considerations to make about each. 

At a high level, the EIDL is a working capital loan that will need to be repaid, to help cover fixed debts, accounts payable, and other bills that could have been paid, had the Coronavirus pandemic not occurred. 

The PPP is also a loan, but it is specifically designed to help alleviate payroll costs and is forgivable if 75% or more of the loan is spent on payroll. One important thing to note is that independent contractors can not be considered as part of your payroll expense (only w-2 employees).

There is a lot more to know about each program before applying, which we covered in our webinar with the SBA. Watch the recording below:

We hope this helps you navigate the financial resources available!