ATLANTA — The U.S. Small Business Administration is offering low-interestfederal disaster loans for working capital to North Carolina small businesses suffering substantial economic injury as a result of the Coronavirus (COVID-19), SBA Administrator Jovita Carranza announced Friday.
SBA acted under its own authority, as provided by the Coronavirus Preparedness and Response Supplemental Appropriations Act that was recently signed by the President, to declare a disaster following a request received from Gov. Roy Cooper on March 17.
The disaster declaration makes SBA assistance available in the entire state of North Carolina; and the contiguous counties of Fannin, Rabun, Towns and Union in Georgia; Cherokee, Chesterfield, Dillon, Greenville, Horry, Lancaster, Marlboro, Oconee, Pickens, Spartanburg and York in South Carolina; Blount, Carter, Cocke, Greene, Johnson, Monroe, Polk, Sevier and Unicoi in Tennessee; and Brunswick, Carroll, Chesapeake City, Danville City, Grayson, Greensville, Halifax, Henry, Mecklenburg, Patrick, Pittsylvania, Southampton, Suffolk City and Virginia Beach City in Virginia.
“SBA is strongly committed to providing the most effective and customer-focused response possible to assist North Carolina small businesses with federal disaster loans. We will be swift in our efforts to help these small businesses recover from the financial impacts of the Coronavirus (COVID-19),” said Carranza.
SBA Customer Service Representatives will be available to answer questions about SBA’s Economic Injury Disaster Loan program and explain the application process.
“Small businesses, private non-profit organizations of any size, small agricultural cooperatives and small aquaculture enterprises that have been financially impacted as a direct result of the Coronavirus (COVID-19) since Jan. 31, 2020, may qualify for Economic Injury Disaster Loans of up to $2million to help meet financial obligations and operating expenses which could have been met had the disaster not occurred,” said Carranza.
“These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. Disaster loans can provide vital economic assistance to small businesses to help overcome the temporary loss of revenue they are experiencing,” Carranza added.
Eligibility for Economic Injury Disaster Loansis based on the financial impact of the coronavirus (COVID-19). The interest rate is 3.75 percent for small businesses. The interest rate for private non-profit organizations is 2.75 percent. SBA offers loans with long-term repayments in order to keep payments affordable, up to a maximum of 30 yearsand are available to entities without the financial ability to offset the adverse impact without hardship.
Applicants may apply online, receive additional disaster assistance information and download applications at https://disasterloan.sba.gov/ela. Applicants may also call SBA’s Customer Service Center at 1-800-659-2955 or email [email protected] for more information on SBA disaster assistance.
Individuals who are deaf or hard-of-hearing may call (800)877-8339. Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, Texas 76155.
The deadline to apply for an Economic Injury Disaster Loan is Dec. 18, 2020.
For more information about Coronavirus, please visit:Coronavirus.gov.
For more information about available SBA resources and services, please visit: SBA.gov/coronavirus.