ATLANTA, April 24 /PRNewswire-USNewswire/ — The U.S. Small Business Administration is reminding businesses in Iowa, Minnesota and Wisconsin that Economic Injury Disaster Loans are still available to small businesses economically impacted by the severe storms and flooding August 18-31, 2007.
“Businesses that suffered economic losses as a result of the disaster and want to apply for low-interest loans from the SBA are urged to do so before the May 23 deadline,” said Frank Skaggs, Director of SBA Field Operations Center East.
Small businesses in the following counties are eligible to apply: Dodge, Fillmore, Freeborn, Goodhue, Houston, Mower, Olmsted, Rice, Steele, Wabasha, Waseca and Winona in the State of Minnesota; Allamakee, Howard and Winneshiek in the State of Iowa; and Buffalo, LaCrosse, Pepin, Trempealeau and Vernon in the State of Wisconsin.
Loans are available up to $l.5 million for small businesses that suffered substantial economic injury from the disaster. 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. These loans are not intended to replace lost sales or profits.
The interest rate on these loans is 4 percent, with a maximum term of 30 years. The SBA determines the amount of economic injury and the terms of each loan based on the financial circumstances of each borrower. The SBA determines eligibility for the program based on the size and type of business and its financial resources. Loan amounts and terms are set by the SBA and are based upon each applicant’s financial condition. Under this disaster declaration, the SBA cannot provide loans to agricultural producers.
To obtain a loan application, interested business owners should contact the SBA’s Customer Service Center by calling 1-800-659-2955 (1-800-877-8339 for the hearing-impaired) Monday through Friday from 8 a.m. to 8 p.m. EDT. Business disaster loan applications can also be downloaded from www.sba.gov. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
The deadline for economic injury applications is May 23, 2008.
For more information about the SBA’s Disaster Loan Programs, visit our website at www.sba.gov.
First Call Analyst:
FCMN Contact:
Source: U.S. Small Business Administration
CONTACT: Mark Ihenacho of SBA, +1-404-331-0333
Web Site: http://www.sba.gov/
