Federal economic injury disaster loans are now available to small businesses, small agricultural cooperatives and most private non-profit organizations of all sizes in Okaloosa, Escambia, Holmes, Jackson and Walton counties, the U.S. Small Business Administration has announced.
The loans were granted following excessive rain and flooding beginning Jan. 1.
“These counties are eligible because they are contiguous to one or more primary counties in Alabama. The Small Business Administration recognizes that disasters do not usually stop at county or state lines. For that reason, counties adjacent to primary counties named in the declaration are included,” said Frank Skaggs, director of SBA’s Field Operations Center East in Atlanta.
The SBA’s Economic Injury Disaster Loan program is available to eligible farm-related and nonfarm-related entities that experienced financial losses following this disaster. Except for aquaculture enterprises, SBA cannot provide disaster loans to agricultural producers, farmers or ranchers.
The loan amount can be up to $2 million with interest rates of 2.875 percent for private non-profit organizations of all sizes and 4 percent for small businesses, with terms up to 30 years. The SBA determines eligibility based on the size of the applicant, type of activity and its financial resources. Loan amounts and terms are set by the SBA and are based on each applicant’s financial condition. These working capital loans may be used to pay fixed debts, payroll, accounts payable and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits.
WANT TO APPLY?
A loan application is available at the Small Business Administration’s secure website.
Alternatively, call the SBA’s Customer Service Center, 800-659-2955, or 800-877-8339 for the deaf and hard-of-hearing or e-mail firstname.lastname@example.org.
Mail completed applications to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
Completed loan applications must be returned to SBA by May 19, 2014.