Deadline for SBA Working Capital Loans for New York Businesses: August 5, 2024
The US Small Business Administration (SBA) is warning small businesses, agricultural cooperatives, aquaculture businesses, and many private nonprofit organizations that the deadline to apply for federal working capital loans is fast approaching. These loans are for those affected by the storm and heavy rains that began on July 2, 2023. Applications must be submitted by August 5, 2024.
This assistance covers key counties in New York, including Clinton, Franklin, Lewis, and Onondaga. It also extends to surrounding counties such as Cayuga, Cortland, Essex, Hamilton, Herkimer, Jefferson, Madison, Oneida, Oswego, and St. Lawrence in New York, and Chittenden and Grand Isle in Vermont.
The SBA’s Economic Injury Disaster Loan (EIDL) program provides support to eligible businesses that have experienced financial difficulties as a result of a disaster. Although the program caters to a wide variety of businesses and private non-profit organizations, it does not include indigenous agricultural producers, farmers, or ranchers, except for aquaculture.
Businesses and organizations that qualify for these loans can receive up to $2 million. Interest rates are set at 4% for small businesses and 2.375% for private non-profit organizations, with repayment terms of up to 30 years. The SBA evaluates eligibility based on the applicant’s size, type of activities, and financial status. Loan amounts and terms are determined according to the specific financial needs of each applicant.
These loans are designed to cover essential expenses such as fixed bills, payroll, accounts payable, and other operating expenses that would have been incurred if the disaster had not occurred. It is important to note that these loans are not intended to recover lost sales or profits.
For those interested in applying, detailed information and online applications are available at SBA.gov/disaster. The SBA’s Customer Service Center can be reached at (800) 659-2955 for more information and assistance with disaster loans. Questions can also be directed by email to disastercustomerservice@sba.gov. People who are deaf, hard of hearing, or speech impaired can use communication transfer services by dialing 7-1-1.
The SBA is urging all eligible businesses and organizations affected by the storm and heavy rains to submit their loan applications no later than August 5, 2024. These loans are essential to help restore and ensure continued operations during this challenging time.
By using these loans, affected organizations can manage their financial obligations and stabilize their operations after a disaster. The SBA’s mission is to support the resilience and recovery of small businesses and nonprofits through its disaster loan programs.
As the deadline approaches, those eligible are encouraged to apply as soon as possible to receive the necessary financial support. The SBA is dedicated to helping small businesses and nonprofits recover from the effects of natural disasters and continue to contribute to their communities and local economies.
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