No-Fuss SBA Disaster Loans Secrets – An Introduction
January 22nd, 2012
The U.S. Small Business Administration reported in the week that federal government economic damage catastrophe financial loans are available to small businesses, small agricultural cooperatives, small corporations operating in aquaculture and most private non-profit establishments of any size found in the counties of Dillon as well as Horry in South Carolina as a result of Hurricane Irene that took place in August.
“These counties are eligible because they are contiguous to one or more primary counties in North Carolina. 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,” announced Frank Skaggs, director of SBA’s Field Operations Center East in Atlanta.
“When the Secretary of Agriculture issues a disaster declaration to help farmers recover from damages and losses to crops, the Small Business Administration issues a declaration to assist eligible entities affected by the same disaster,” declared Skaggs.
Under this declaration, the SBA’s Economic Injury Disaster Loan program is offered to eligible farm-related and also nonfarm-related entities that suffered financial losses being a direct result of this disaster. Apart from aquacultural enterprises, agricultural companies, farmers along with ranchers are definitely not eligible to apply to SBA.
Loan options for small business can be up to $2 million, with interest rates of 3 percent for non-profit organizations and 4 percent for small businesses. Terms can be up to 30 years. The SBA ascertains eligibility dependant upon the size of the candidate, form of activity as well as its financial assets. The agency designs financial loan amounts as well as terms dependent on every applicant’s fiscal affliction. These may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. The small business loan financing is not intended to replace lost sales or profits.