ATLANTA – U.S. Small Business Administration has extended the deadline to apply for low-interest disaster loans for the May 27 – May 29 severe storms, straight-line winds, tornadoes, flooding and landslides. Ohio businesses and disaster survivors now have until Sept. 3, 2019 to apply for their physical damage losses.
“The extension will allow the businesses, homeowners, renters and private nonprofit organizations additional time to submit their SBA disaster loan applications and obtain the funding they need for disaster related repairs and replacements” said SBA Great Lakes Regional Administrator Robert L. Scott, III. “The key to rebuilding is to access all of the available resources and not wait for insurance to be settled. SBA’s disaster loan program is unique and loan amounts, terms and conditions can be adjusted if insurance is received after the loan is approved.”
For those reluctant to file an SBA disaster loan application, SBA’s Customer Service Representatives are available at every Recovery Center to help with the process, and answer questions. Businesses can receive free assistance with reconstructing financial records, preparing financial statements and submitting the loan application from any of SBA’s partners: Small Business Development Centers, SCORE, Women’s Business Centers, and Veterans Business Outreach Centers. Homeowners and renters unable to obtain an SBA low-interest disaster loan are referred to FEMA for grant consideration.
Businesses and private nonprofit organizations of any size may borrow up to $2 million to repair or replace disaster damaged or destroyed real estate, machinery and equipment, inventory, and other business assets. For small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private nonprofit organizations, the SBA offers Economic Injury Disaster Loans to help meet working capital needs caused by the disaster. Economic Injury Disaster Loan assistance is available regardless of whether the business suffered any physical property damage.
Disaster loans up to $200,000 are available to homeowners to repair or replace disaster damaged or destroyed real estate. Homeowners and renters are eligible up to $40,000 to repair or replace disaster damaged or destroyed personal property.
Interest rates are as low as four percent for businesses, 2.75 percent for private nonprofit organizations, and 1.938 percent for homeowners and renters, with terms up to 30 years. The SBA customizes loan amounts and terms based on each applicant’s circumstances.
Applicants may be eligible for a loan increase up to 20 percent of their physical damages, as verified by the SBA for mitigation purposes. Eligible mitigation improvements may include a safe room or storm shelter, sump pump, French drain or retaining wall to help protect property and occupants from future damage caused by a similar disaster.
Applicants may apply online using the Electronic Loan Application (ELA) via the SBA’s secure website at Disasterloan.sba.gov.
To be considered for all forms of disaster assistance, applicants should register online at DisasterAssistance.gov or download the FEMA mobile app. If online or mobile access is unavailable, applicants should call the FEMA toll-free helpline at 800-621-3362. Those who use 711-Relay or Video Relay Services should call 800-621-3362.
Additional details on the locations of Disaster Recovery Centers and the loan application process can be obtained by calling the SBA Customer Service Center at 800-659-2955 (800-877-8339 for the deaf and hard-of-hearing) or by sending an e-mail to firstname.lastname@example.org. Completed applications should be returned to a recovery center or mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155. For more information about SBA recovery assistance, visit sba.gov.
The filing deadline to submit applications for physical property damage is Sept. 3. The deadline for economic injury applications is March 18, 2020.