Options For Fundamental Criteria For SBA Disaster Loans
The U.S. Small Business Administration announced in the week that federal economic damage disaster financial loans are offered to small businesses, small farm cooperatives, small organizations active in aquaculture and the majority of private non-profit firms of all sizes situated in the counties of Dillon and Horry in South Carolina because of Hurricane Irene which occurred 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,” said 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,” said Skaggs.
Under this declaration, the SBA’s Economic Injury Disaster Loan program is accessible to qualified farm-related and nonfarm-related entities that sustained monetary losses as a direct result of this calamity. Except for aquacultural enterprises, agricultural producers, farmers along with ranchers are definitely not eligible to a href=”http://www.sba.gov/content/how-apply-sba-loan”>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 determines eligibility depending on the size of the prospect, type of activity along with its financial resources. The agency identifies financial loan amounts in addition to terms based on each and every applicant’s economic 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.
