Economic Disaster Loans announced in Virginia

(WVLT)
Published: Nov. 6, 2019 at 5:02 PM EST
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The U.S. Small Business Administration announced Wednesday Economic Injury Disaster Loans are available in Wise County.

The loans will be available to small businesses, agricultural cooperatives, aquaculture businesses and private nonprofit organizations as a result from the drought beginning in October.

“This county is eligible because it is contiguous to one or more primary counties in Kentucky. 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 SBA Mid-Atlantic Regional Administrator Steve Bulger.

The SBA’s Economic Injury Disaster Loan program is available to eligible businesses that suffered financial losses as a direct result of this disaster.

The SBA cannot provide disaster loans to agricultural producers, farmers and ranchers, with the only exception being aquaculture enterprises. Nurseries are eligible to apply for economic injury disaster loans for losses caused by drought conditions.

The loan can be up to $2 million with interest rates of 4% for small businesses and 2.75% for private nonprofit organizations, with terms up to 30 years. The SBA determines eligibility based on the size of the applicant, type of activity and its financial resources. The loan and terms are set by the SBA and are based on each applicant’s financial condition.

The loans may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred but are not intended to replace lost sales or profits.

Applicants can apply online using the Electronic Loan Application or download forms through the SBA's

.

Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155 no later than June 24, 2020.

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