SBA disaster loan deadline nears
The U.S. Small Business Administration is reminding small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations that Dec. 12 is the filing deadline for federal economic injury disaster loans in Virginia as a result of Hurricane Matthew, excessive heat, excessive rain and flash flooding from May 1 through Oct. 9, 2016.
This disaster declaration includes the following counties and independent cities: Accomack, Charles City, Franklin, Isle of Wight, James City, Newport News, Northampton, Prince George, Southampton, Suffolk, Surry and Sussex.
Under this declaration, the SBA’s Economic Injury Disaster Loan program is available to eligible farm-related and nonfarm-related entities that suffered financial losses as a direct result of this disaster. With the exception of aquaculture enterprises, SBA cannot provide disaster loans to agricultural producers, farmers or ranchers.
The loans are for working capital and can be up to $2 million with interest rates of 4 percent for eligible small businesses and 2.625 percent for nonprofit organizations, and terms up to
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.
Applicants may apply online at https://disasterloan.sba.gov/ela.
Completed loan applications must be returned to SBA no later than Dec. 12.