The Small Business Administration says business owners affected by the summer’s severe storms and flooding will have access to low-interest federal disaster loans through.
Through Thursday, Sept. 10, SBA representatives will be available to meet with and answer questions for potential applicants at Disaster Loan Outreach Centers. The Jefferson County center is located at Mercy Jefferson Hospital’s marketing conference room, 1400 U.S. 61 in Festus, 8 a.m. to 5 p.m. Monday through Friday except Labor Day. No appointment is necessary. There are also locations in Troy, in Lincoln County, and Palmyra, in Marion County.
Loans of up to $2 million will be available to businesses and nonprofit organizations of all sizes to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets. The SBA can also lend funds to businesses and homeowners to help pay for improvements to protect, prevent or minimize the same type of damage from occurring in the future.
Eligible business and property owners must seek the loans for damage due to severe storms, tornadoes, straight-line winds and flooding that occurred from May 15 to July 27. The assistance will be available in Franklin, Jefferson, Lewis, Lincoln, Marion, Monroe, Montgomery, Pike, Shelby, St. Charles, St. Francois, St. Louis, Ste. Genevieve, Warren and Washington counties in Missouri; and in Adams, Calhoun, Monroe and Pike counties in Illinois.
In addition to loans for physical property damage, the SBA also offers economic injury disaster loans to help meet working capital needs caused by the disaster. Homeowners will be able to apply for disaster loans of up to $200,000 to repair or replace damaged real estate, and homeowners and renters are eligible for up to $40,000 to repair or replace damaged personal property.
The SBA acted under its own authority to declare a disaster to make the funds available after officials declined Missouri’s request for a major disaster declaration.
Interest rates can be as low as 4 percent for businesses, 2.625 percent for nonprofit organizations and 1.688 percent for homeowners and renters, with terms of up to 30 years. The SBA sets loan amounts and terms based on each applicant’s financial situation.
Applications for loans related to property damage must be filed by Oct. 19. Applications for economic injury disaster loans must be filed by May 18, 2016.
Applicants may apply online at disasterloan.sba.gov/ela. More information and forms can also be obtained from the SBA customer service center at 800-877-8339. More information is also available at www.sba.gov/disaster.