WV Eight Steps

The U.S. Small Business Administration is reminding small companies that Feb. 24 is the submitting deadline day regarding federal financial injury catastrophe loans available in Lee and Scott counties in Virginia. The SBA proclaimed a catastrophe as a consequence of severe storms, tornadoes, straight-line winds in addition to floods that started on April 23, 2011.

In addition, the Small Business Administration stated this week that federal government economic injury catastrophe loans are available to small businesses, small farming cooperatives, small organizations operating in aquaculture and the majority of private non-profit firms of all sizes based in the counties of Dillon along with Horry in South Carolina as a result of Hurricane Irene that occurred in August.

“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,” declared Frank Skaggs, director of SBA’s Field Operations Center East in Atlanta.

Under this declaration, the SBA’s Economic Injury Disaster Loan program is readily available to qualified farm-related and also nonfarm-related entities that encountered monetary losses as a direct result of this calamity. Apart from aquacultural businesses, agricultural companies, farmers along with ranchers are not eligible to apply to SBA.

Financing 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 activity and its financial assets. The agency designs financial loan levels and terms dependent on each applicant’s financial affliction. The may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. These particular small business loans are not designed to substitute already lost sales or business earnings.