(Madison County, NY – May 2015) U.S. Representative Richard Hanna reminds small businesses, small agricultural cooperatives, small aquaculture businesses and private nonprofit organizations that a deadline to apply for disaster loans is rapidly approaching.
Groups located in New York that experienced damages as a result of excessive rain, flooding, high winds and hail from April 1 through July 8, 2014 have until May 26, 2015 to apply for a working capital disaster loan from the U.S. Small Business Administration (SBA).
The SBA’s disaster declaration includes the following counties in New York’s 22nd Congressional District: Cortland, Herkimer, Madison, Oneida, Oswego, and Tioga.
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.
“Many small businesses in Central New York and the Southern Tier suffered damages from extreme weather between April and July last year,” Rep. Hanna said. “Loans like these from the Small Business Administration can help recover and recoup such substantial losses related to this severe weather. I am pleased that federal funds are available to further assist our small businesses.”
The loan amount can be up to $2 million with interest rates of 2.625 percent for private nonprofit organizations and 4 percent for small businesses, with terms up to 30 years. 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 using the Electronic Loan Application (ELA) via SBA’s secure website at https://disasterloan.sba.gov/ela.
Disaster loan information and application forms may also be obtained by calling the SBA’s Customer Service Center at 800-659-2955 (800-877-8339 for the deaf and hard-of-hearing) or by sending an email to disastercustomerservice@sba.gov.
Loan applications can be downloaded from www.sba.gov/disaster.
Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
Completed loan applications must be returned to SBA no later than May 26, 2015.