Small, non-farm businesses in Fremont, Custer, Chaffee, Pueblo, and 19 other Colorado counties are now eligible to apply for low interest disaster loans from the U. S. Small Business Administration (SBA). Alfred E. Judd, Director of SBA’s Disaster Field Operations Center-West, announced that the loans are intended to offset economic losses because of reduced revenues caused by drought beginning January 1, 2011.
“SBA eligibility covers both the economic impacts on businesses dependent on farmers and ranchers that have suffered agricultural production losses caused by the disaster and businesses directly impacted by the disaster,” Judd said.
Small, non-farm businesses and most private, non-profit organizations of any size may qualify for Economic Injury Disaster Loans to help meet financial obligations and operating expenses which could have been met had the disaster not occurred.
Eligibility for these loans is based on the financial impact of the disaster only. The loans have an interest rate of 4% for businesses, a maximum term of 30 years, and are available to small businesses without the financial ability to offset the adverse impact without hardship.
Businesses primarily engaged in farming or ranching are not eligible for SBA disaster assistance. Agricultural enterprises should contact the Farm Services Agency (FSA) about the U. S. Department of Agriculture (USDA) assistance made available by the Secretary’s declaration.
Applicants may apply online using the Electronic Loan Application (ELA) via SBA’s secure Web site at https://disasterloan.sba.gov/ela.