The U.S. Small Business Administration revealed this week that federal government economic injury disaster loans are available to small companies, small agricultural cooperatives, small enterprises engaged in aquaculture and the majority of private non-profit organizations of any size found in the counties of Dillon as well as Horry in South Carolina because 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,” 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 readily available to qualified farm-related in addition to nonfarm-related businesses that endured monetary losses being a direct consequence of this catastrophe. With the exception of aquacultural organizations, 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 determines eligibility dependant upon the size of the prospect, form of undertaking and its financial resources. The agency establishes financial loan amounts as well as terms based upon each and every applicant’s economic condition. 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.