Deadline looms for some area disaster aid loans
The U.S. Small Business Administration reminds eligible Private Non-Profit Organizations (PNPs) of the August 31 deadline to submit disaster loan applications for damages caused by severe storms, tornadoes and flooding that occurred on June 17-26.
Private Non-Profit Organizations (PNPs) located in Faribault, Freeborn, Olmsted, Otter Tail, Polk, Steele and Wadena counties in Minnesota are eligible for both Physical and Economic Injury Disaster Loans from the SBA. Eligible PNPs are those that provide non-critical services such as: food kitchens, homeless shelters, museums, libraries, community centers, schools and colleges.
PNPs may borrow up to $2 million to repair or replace damaged or destroyed real estate, machinery and equipment, inventory and other business assets.
The SBA may increase a loan up to 20 percent of the total amount of disaster damage to real estate and/or leasehold improvements, as verified by SBA, to make improvements that lessen the risk of property damage by future disasters of the same kind.
The SBA offers Economic Injury Disaster Loans to help meet working capital needs, such as ongoing operating expenses for PNP organizations of all sizes. Economic Injury Disaster Loan assistance is available regardless of whether the business suffered any physical property damage.
Interest rates are as low as 3 percent with terms up to 30 years. Loan amounts and terms are set by the SBA and are based on each applicant's financial condition.
Disaster loan information and application forms may be obtained by calling the SBA's Disaster Assistance Customer Service Center at 800-659-2955 (800-877-8339 for people with speech or hearing disabilities) Monday through Friday from 8 a.m. to 6 p.m. EDT or by sending an email to firstname.lastname@example.org.
Applications can be downloaded from www.sba.gov.
Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
Those affected by the disaster may apply for disaster loans from SBA's website at https://disasterloan.sba.gov/ela/.
The filing deadline to return applications for physical property damage is August 31, 2010. The deadline to return economic injury applications is April 2, 2011.